Which of the Following Do Limitations of Cost Volume Profit

question 8

Multiple Choice

Which of the following do limitations of cost volume profit include?
i.Not all costs can be classified as fixed or variable
ii.Revenue changes may not be linear.
iii.Sales volume is the only cost driver.iv.Inventory levels do not change.

• A) i and ii
• B) i and iii
• C) i,ii and ii
• D) All of the given answers

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Definitions:

Mortgage Pass-through Agency

A financial entity that aggregates mortgage loans and creates pass-through securities representing interests in those loans.

Ginnie Mae

Ginnie Mae, or the Government National Mortgage Association, guarantees timely payment of principal and interest on mortgage-backed securities.

Sallie Mae

A corporation that originates, services, and collects student loans in the United States.

Default Risk Premiums

The additional yield a bond issuer must pay to compensate investors for the risk that the issuer might not make payments as promised.