QUESTION 1 - • Variable costs per unit are constant •...

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#1 what is meant by cvp analyis Cost-volume-profit (CVP) analysis is used to determine how changes in costs and volume affect  a company's operating income and net income. In performing this analysis, there are several  assumptions made, including:  Sales price per unit is constant.
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Unformatted text preview: • Variable costs per unit are constant. • Total fixed costs are constant. • Everything produced is sold. • Costs are only affected because activity changes. • If a company sells more than one product, they are sold in the same mix....
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