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Why and How Are Series of Data Deflated to a Real

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Why and how are series of data deflated to a real or constant dollar value?

Use the degree of operating leverage to assess the impact of sales volume changes on profit.
Analyze the effects of changes in costs (fixed and variable) and sales price on the break-even point and overall financial performance.
Calculate target income levels and understand the process of achieving financial goals through CVP analysis.
Understand the role and computation of the contribution margin in multi-product companies.

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