Question
I've answered the question. Can someone check if I got it right, please? The cost that varies and direct proportion two changes in activity level,
I've answered the question. Can someone check if I got it right, please?
The cost that varies and direct proportion two changes in activity level, but remain constant on a per-unit basis =
variable cost
the range of activity over which the company expects to operate during the year=
relevant range
the level of activity at which total revenues equal the total cost =
break-even point
the percentage of each dollar of sales that is available to apply to fix cost and contribute to net income =
contribution margin ratio
the cost that contained both a variable and a fixed cost element =
maxed cost
sales variables cost equals =
contribution margin
an internal statement that classifies cost as fixed or variable and shows the contribution margin in the body of the statement =
cost volume profit income
the cushion that management has, allowing it to break even if expected sales fell to materialize =
margin of safety
costs that remain the same in total regardless of changes in the activity level but vary on a per-unit basis =
fixed costs
the amount of revenue remaining poor unit after deducting variable costs =
contribution margin per unit
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