Multiple Choice
Cost-volume-profit analysis is based on three basic assumptions. Which of the following is not one of these assumptions?
A) Total fixed costs remain constant over changes in volume.
B) Curvilinear costs change proportionately with changes in volume throughout the relevant range.
C) Variable costs per unit of output remain constant as volume changes.
D) Sales price per unit remains constant as volume changes.
E) All of these are basic assumptions.
Correct Answer:

Verified
Correct Answer:
Verified
Q5: Winthrop Manufacturing produces a product that sells
Q6: A cost that remains the same in
Q7: Cost-volume-profit analysis can be used to predict
Q7: Briefly describe a CVP chart, including its
Q8: A cost that changes with volume, but
Q9: Macleod Company's product has a contribution margin
Q11: The contribution margin per unit is equal
Q15: A product sells for $200 per unit,
Q39: What is the high-low method? Briefly describe
Q85: Define variable cost, fixed cost, and mixed