If a Change Is Made in One Parameter of CVP

question 20

Multiple Choice

If a change is made in one parameter of CVP analysis,it is an example of:

• A)incremental budgeting.
• B)sensitivity analysis.
• C)operating leverage.
• D)multiple cost drivers.

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Definitions:

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A theory suggesting the development of ancient civilizations was significantly influenced by the management and control of water resources, particularly in agriculture.

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The shared languages, customs, beliefs, and artifacts of a group of people that are passed from one generation to the next.

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The exchange of goods, services, or both between two or more parties, often for the purpose of economic gain.