Which of the Following Assumptions Does NOT Pertain to Cost-Profit-Volume

question 2

Multiple Choice

Which of the following assumptions does NOT pertain to cost-profit-volume analysis?

• A)Sales price per unit remains constant.
• B)The sales mix is constant.
• C)Inventories in a manufacturing entity may go up or down.
• D)Fixed expenses are constant at all volumes of activities within the relevant range.

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Definitions:

Permitted

Granted authorization or consent to do something within specified conditions or regulations.

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A valve used in brake systems, offering two separate channels for brake fluid to ensure a backup in case one fails.

Relay Section

A segment of an electrical circuit designed to isolate and manage the flow of power through the use of relays.

Primary Piston

The main piston in a hydraulic or pneumatic system that is first to receive pressure from the fluid or air, translating that pressure into mechanical force.