The topic of this paper is the break-even point along with the calculation methods and general characteristics of costs of that type and the analysis of the break-even point on the example of the trading company Košćal d.o.o. The breakeven point is achieved when the total costs of the products sold are equal to the total revenues, where the breakeven point is not affected by the costs included in the value of the inventory of finished products, semi-finished products and unfinished production, but they affect the cash flow. The break-even point is the amount of product that needs to be produced and sold so that the costs are equal to the income, that is, so that the company does not make a loss. The break-even point is important because by calculating it, the trading company gets information on what quantity of product we need to produce and at what price to sell it in order not to make a loss. Also, if a trading company wants to achieve a certain, targeted profit, it uses the cover point model as a calculation tool. The main goal of every company is continuous operations and maximization of business results over a long period of time. Products and services, which are the result of the company`s business activities, have double role. On the one hand, they must meet the needs of customers, and on the other hand, they must make a profit for the management, i.e. a return on invested capital. Costs are one of the important factors in making a profit, therefore they are under the magnifying glass of every manager. His task is to produce a product or perform a service with as few costs as possible.