break-even point
Definition 1
The price at which an option's cost is equal to the proceeds acquired by exercising the option. For a call option, it is the strike price plus the premium paid. For a put option, it is the strike price minus the premium paid.
Definition 2
The price at which a securities transaction produces neither a gain nor a loss.
Definition 3
The volume of sales at which a company's net sales just equals its costs.
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Related terms:
point, break-even tax rate, payback
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