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A. What key characteristics need to be present for managers to use cost-volume profit analysis in decisions of output and profitability? Please explain and discuss
A. What key characteristics need to be present for managers to use cost-volume profit analysis in decisions of output and profitability? Please explain and discuss how the linearity and the relevant range assumptions impact the aforementioned decisions of output and profitability, including forecasting? (20 pts) B. With respect to job-order costing, please explain in detail how manufacturing overhead costs are charged to jobs? Are actual manufacturing overhead costs charged to jobs why or why not? (10 pts) C. From the initiation of a job, what key financial statements are impacted as costs accumulate on the job until completed ?(10 pts) D. What are the benefits of the degree of operating leverage in determining the optimum sales volume? What component does the margin of safety and the degree of operating leverage share in common? (10 pts)
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