Cornerstones of Managerial Accounting 4th Edition by Maryanne Mowen, Don Hansen, Dan Heitger

تمرين 9

Cost-Volume-Profit Graphs
Lotts Company produces and sells one product. The selling price is $10, and the unit variable cost is $6. Total fixed cost is $10,000.
Required:
1. Prepare a CVP graph with ''Units Sold'' as the horizontal axis and ''Dollars'' as the vertical axis. Label the break-even point on the horizontal axis.
2. Prepare CVP graphs for each of the following independent scenarios: (a) Fixed cost increases by $5,000, (b) Unit variable cost increases to $7, (c) Unit selling price increases to $12, and (d) Fixed cost increases by $5,000 and unit variable cost is $7.