When doing cost volume profit analysis, the starting point is always to analyse the cost behaviours in relation to activity levels.

Name: When doing cost volume profit analysis, the starting point is always to analyse the cost behaviours in relation to activity levels.
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Cost volume profit analysis starts by analyzing how costs behave in relation to changes in activity levels. This information is used to determine the breakeven point and to forecast profits at different levels of activity.

When Doing Cost Volume Profit Analysis, the Starting Point Is