A situation where an investor closes a position without experiencing either a gain or loss. For options, the market price of the underlying security that would result in an investor having no gain or loss.
Breakeven is achieved when total contribution is equal to total fixed costs. Addition contribution earned after this point becomes profit
Dollars of response, measured by order margin, are equal to the total cost of promotion. (Breakeven for the business means the order margin must equal promotion plus all other costs).