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The flow of capital around the world has helped establish an open global environment.
Break-even Point
The point at which total revenue equals total costs, resulting in no profit or loss for the business.
Sales Mix
The combination of different products or services that a company sells, which impacts the overall profitability.
Contribution Margin Ratio
A ratio that measures the percentage of sales revenue available to cover fixed expenses and generate profit, calculated as the contribution margin divided by sales revenue.
Annual Fixed Expenses
Expenses that do not change in total regardless of changes in the volume of activity or production levels, such as rent or salaries.
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