Beta-oxidation is a metabolic process that breaks down fatty acids to generate energy. It occurs in the mitochondria of cells, where fatty acids are converted into acetyl-CoA, a molecule that enters the Krebs cycle to produce ATP, the energy currency of the cell. This process is essential for utilizing stored fat as an energy source, especially during prolonged exercise or fasting. During beta-oxidation, fatty acids are progressively shortened by removing two carbon atoms at a time. Each cycle produces one molecule of acetyl-CoA, along with NADH and FADH2, which are used in the electron transport chain to generate additional ATP. This efficient energy production is crucial for maintaining cellular functions.