Managers use PV graphs because it shows how changes in the quantity of units sold affect operating income.

Name: Managers use PV graphs because it shows how changes in the quantity of units sold affect operating income.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

PV (profit volume) graph shows the relationship between the quantity of units sold and the operating income which helps managers to understand the impact of changes in sales volume on profitability.

Managers Use PV Graphs Because It Shows How Changes in the Quantity