Solved

Which of the Following Is Not an Assumption of Cost-Volume-Profit

Question 5

Multiple Choice

Which of the following is not an assumption of cost-volume-profit (CVP) analysis?


A) The number of units sold is the only revenue driver and the only cost driver.
B) Total costs can be separated into two components.
C) When represented graphically,the behaviors of total revenues and total costs are linear.
D) Selling price,variable cost per unit,and total fixed costs are known and constant.
E) The total costs are never separated into components in this analysis.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents