Bep Test

Breaqk Even Poin
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  Strategic Cost management UIAMSPanjab University, ChandigarhSession 13 th  September, 201  S!ide 2 #earning $bjec%ves ãWhat is cost-volume-profit (CVP) analysis, and how is it used for decision making ã!ow are CVP calculations performed for a single productã!ow are CVP calculations performed for multiple productsãWhat is the reakeven pointãWhat assumptions and limitations should managers consider when using CVP analysis  S!ide 3 units#$otal Costs ($C)$otal %evenue ($%)  C&P Ana!ysis ' (rea)even Point ã$he reakeven point (&'P) is where total revenue eual total costs ã C&P ana!ysis !oo)s at the re!a%onship bet*een se!!ing prices, sa!es vo!+mes, costs, and prots- &'P in units&'P in sales #  S!ide .  /o* is C&P Ana!ysis Used ã C&P ana!ysis can determine, both in +nits and in sa!es do!!ars ãthe volume reuired to reak evenãthe volume reuired to achieve target profit levelsãthe effects of discretionary e*pendituresãthe selling price or costs reuired to achieve target volume levelsã CVP analysis helps analyze the sensitivity of profits to changes in selling prices, costs, volume and sales mix.

21st ENg

Apr 16, 2018


Apr 16, 2018
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