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Which of the Following Is Not Correct About CVP Analysis

Question 48

Multiple Choice

Which of the following is not correct about CVP analysis?


A) Managers estimate the predicted profitability of choices.
B) Useful to managers because they calculate units that need to be sold to breakeven.
C) Managers make strategic decisions about selling prices and operating income.
D) Managers make decisions about choosing additional features of an existing product.
E) Managers are unable to make strategic decisions about selling prices and operating income.

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