Multiple Choice
Which of the following is not a valid assumption for cost-volume-profit analysis?
A) Variable costs per unit are not affected by changes in the rate of production.
B) An increase in fixed costs will cause the break-even point to rise.
C) Demand is constant regardless of price.
D) A decrease in variable cost per unit will lower the break-even point.
Correct Answer:
Verified
Correct Answer:
Verified
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