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Which of the Following Is Not an Assumption of CVP

Question 36

Multiple Choice

Which of the following is not an assumption of CVP analysis?


A) The sales mix ratio (for multiple products) remains constant.
B) Total fixed cost and total variable cost per unit are constant over the entire range of analysis.
C) Sales price will remain constant on a per-unit basis regardless of the level of sales.
D) All costs are variable in the relevant range.
E) All of the above

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