Asked by
Harsh Pardiwala
on Nov 13, 2024
Verified
CVP analysis does not consider
A) level of activity.
B) fixed cost per unit.
C) variable cost per unit.
D) sales mix.
CVP Analysis
Cost-Volume-Profit Analysis; a financial tool used to determine the impact on an organization's profits due to changes in volume, costs, and prices.
Fixed Cost Per Unit
The portion of fixed costs attributed to each unit of production, which stays constant regardless of the level of production or sales volume.
- Acquire knowledge and implement Cost-Volume-Profit analysis to inform business decision processes.
- Gain an understanding of the foundational presumptions and limitations inherent in cost-volume-profit analysis.
Verified Answer
DM
Learning Objectives
- Acquire knowledge and implement Cost-Volume-Profit analysis to inform business decision processes.
- Gain an understanding of the foundational presumptions and limitations inherent in cost-volume-profit analysis.