A. What is your cashflow?
B. How much do you earn monthly?
C. How much do you spend monthly?
Subtract B – C
Your answer, answers the first question A.

D.What is breakeven point in business?
E. How much did you invest in your business?
F. How much have you realized from the business?
The point at which the amount invested in the business (E) equals(=) profit made (F), answers question D.

To succeed in business, in life you need to apply the simple mathematics you learned in school. Many people ask what value are all the formulas they learnt in school. Yet they have not put the simple mathematics learnt in primary school to use, needless to say the simple interest they learnt in secondary school.

It is important to have an estimate of how much you earn within a period of say a month and your estimated income, this gives you an insight to your spending habits. It tells you if you are spending wisely or not. It tells you if you need to cut down your spending. If you spend more than you earn, your cash flow will be in red (-). This means you will be in debts.
Mathematics is beautiful, isn’t it? Have a great week.