Part B: (3 marks) A CVP income statement is frequently prepared for internal use by management. Describe the features of the CVP income statement that make it more useful for management decision-making than the traditional income statement that is prepared for external users. ers CALCIBUS A CVP or cost-volume-profit income statement has the same information as a more traditional income statement, but is designed to show the effects of changes in costs and volume on the profit of a business. It is used as a tool to allow management to make decisions about such things as product mix, selling prices, and best use of production facilities. Question 1 Part A Variable costs are relevant cost but if due to any decision Fixed costs are also going to affected then fixed costs are also relevant costs