The document discusses cost analysis concepts for a business economics course. It defines cost functions, types of costs like fixed, variable and total costs. It explains opportunity cost, isocost lines, and how they relate to cost minimization. It also covers average and marginal costs, deriving their equations and charting costs. Break-even analysis is discussed including calculating break-even point, margin of safety, and the importance of price elasticity of demand for pricing strategies. Examples are provided to demonstrate calculating costs, profits and break-even outputs.