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Business Finance: Break-Even and Cash Flow

Label fixed cost, total cost, revenue, break-even output and profit/loss regions on the graph. Explain why profit and cash are different, then create a simple cash-flow scenario in the blank cards.

Subject

Business

Time

~5 min

Access

Free

Format

Colouring Sheets

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Label fixed cost, total cost, revenue, break-even output and profit/loss regions on the graph. Explain why profit and cash are different, then create a simple cash-flow scenario in the blank cards.

Use the parent guidance on page 2. Print on A4 paper at actual size or fit to printable area, then encourage careful colouring and discussion of the learning topic.

Use the guidance and answer key on page 2. Answer or assessment rubric: Fixed cost stays constant over the relevant range; total cost starts at fixed cost and rises with variable cost; revenue normally starts at zero and rises with sales. Their intersection is break-even; margin of safety is actual/forecast output above break-even. Profit is revenue minus costs, while cash flow tracks timing of money in and out.

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