To Which Function of Management Is CVP Analysis Most Applicable

question 40

Multiple Choice

To which function of management is CVP analysis most applicable?

• A) Planning
• B) Motivating
• C) Directing
• D) Controlling

---

Definitions:

Cash Dividend

A payment made by a company out of its profits to shareholders, usually in cash.

Dividend Yield

An economic indicator reflecting the yearly dividends paid by a firm in comparison to its current share value.

Cash Dividends

Cash distributions from a company to its shareholders, usually derived from earnings.

Treasury Stock

Treasury stock consists of shares that were issued and later reacquired by the issuing company, reducing the amount of outstanding stock on the open market.