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hello and welcome back to mac uhe this topic is about location of break-even analysis so locational means we have to find out the location right so we have to select a location so we will be selecting location based on the break even analysis so break even is a point where the cost collide what does that mean you would just know in a second so for selecting a location we need to select the location with the minimum cost for a certain number of units production right so if you are producing 500 units uh per year or 10 year or per unit of time then what would be the minimum cost for a certain location and then if we are uh producing 2000 units then which location to be selected in order for the cost to be minimum now as we are dealing with the cost so there are two types of cost that makes up the total that make up the total cost the first one is the fixed cost and then the second one is the variable cost fixed cost is the cost that is fixed as the world says but it means that this is t