Which of the Following Is Not One of the Common

question 50

Multiple Choice

Which of the following is not one of the common assumptions typically used in break-even analysis?

• A)Fixed costs are never considered.
• B)Fixed costs remain constant over the period and volumes considered.
• C)Variable costs fluctuate in a linear fashion.
• D)Revenues vary directly with volume.
• E)Break-even analysis considers total costs rather than average costs.

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