El punto de equilibrio
Example: El punto de equilibrio es clave para que la empresa no pierda dinero.
Definition
"El punto de equilibrio" refers to the financial state in a business where total revenues exactly match total costs, meaning the company neither makes a profit nor incurs a loss. It is crucial for understanding when a business covers its expenses and starts generating profit.
Etymology
The phrase "el punto de equilibrio" comes from Spanish, where "punto" means 'point' and "equilibrio" means 'balance' or 'equilibrium.' Together, they describe the critical point of balance in a company's finances. Did you know this concept is fundamental in economics and business to assess sustainability?
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"El punto de equilibrio" appears in the Vocaplus list "Spanish - Entrepreneurship - (A1-C2) - set 1", containing 109 commonly used words.
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