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CVP discusses fixed and variable costs. However, we also have mixed costs have both a variable and fixed cost component. For example, many overhead costs
CVP discusses fixed and variable costs. However, we also have mixed costs have both a variable and fixed cost component. For example, many overhead costs operate like that. For example, electricity usually has a base charge and then it has a usage charge. So, what do we do with those costs in CVP? Does this mean we can't use for companies with mixed costs?
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