Hampton Company, a producer of computer disks, has the following information:

-The horizontal axis on the cost-volume-profit graph is the
A) dollars of cost.
B) sales volume.
C) dollars of revenue.
D) net income.

Question

Hampton Company, a producer of computer disks, has the following information:
 
-The horizontal axis on the cost-volume-profit graph is the
A) dollars of cost. 
B) sales volume. 
C) dollars of revenue. 
D) net income.

Quizplus · Accepted Answer

The horizontal axis on the cost-volume-profit graph represents the sales volume. This is because the graph shows the relationship between the sales volume and the company's costs, revenues, and profits. It is important to note that the sales volume can be represented in units or dollars.

Hampton Company, a Producer of Computer Disks, Has the Following