Cost-Volume-Profit Analysis Is Based on Necessary Assumptions

question 82

Multiple Choice

Cost-volume-profit analysis is based on necessary assumptions.Which of the following is not one of these assumptions?

• A)Costs can be classified as variable or fixed.
• B)Relevant range includes all possible levels of activity that a company might experience.
• C)Sales price and variable costs per unit of output remain constant as volume changes.
• D)A constant sales mix in a multiproduct company.
• E)Total fixed costs are held constant.

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Definitions:

Team Diversity

Variances or differences in ability, experience, personality, or any other factor on a team.

Self-managed

Refers to individuals or teams that operate and make decisions independently, without the need for direct supervision.

Self-managed

Describes tasks, groups, or organizations that operate autonomously, with individuals or teams making decisions without external control.

Empowering

Giving individuals or groups the authority, means, and confidence to take decisions and actions that affect their work or life positively.