Which of the Following Is Not One of the Assumptions

question 82

Multiple Choice

Which of the following is not one of the assumptions underlying cost-volume-profit analysis?

• A) Costs are linear.
• B) Production equals sales.
• C) All costs can be segregated into fixed and variable components.
• D) The selling price increases or decreases with changes in sales volume.

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Definitions:

Earth's Climate

The average weather conditions, including temperature, precipitation, and wind, in a region over long periods of time.

Permafrost

Permanently frozen ground that occurs in high latitude or altitude regions.

Polar Grasslands

A cold, treeless region found in the high latitudes, often referred to as tundra, where the subsoil is permanently frozen and vegetation is sparse.

Arctic Tundra

A cold, treeless biome found in the Arctic regions, characterized by permafrost, low temperatures, and minimal vegetation.