CVP compendium is gener eithery specify as a planning tool by which managers can evaluate the effect of a change(s) in price, volume, variable cost or fixed cost on profit. Additionally, CVP analysis is the bum for makeing contribution margin pricing, related footling-term decisions, target costing and enrapture pricing. Apart from profit projection, the plan of Cost-Volume-Profit (CVP) is relevant to virtually all decision-making areas, particu! larly in the short run. The relationship among cost, revenue and profit at different levels may be expressed in graphs such as breakeven charts, profit volume graphs or in various statements forms. CVP Analysis helps managers understand the interrelationship between cost, volume, and profit in an organization by focusing on interactions among the pastime five elements: Prices of carrefours Volume or level of activity varying cost Total fixed cost Mix of overlap sold Analysis that deals with...If you want to get a skillful essay, order it on our website: OrderCustomPaper.com
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