Q1) Cost-volume-profit analysis is based on certain general assumptions. Which of the following is not one of these assumptions?

1.Product prices remain constant as activity changes.

2. In multiproduct organizations, the sales mix remains constant.

3.Units produced are equal to units sold.

4. The average fixed cost per unit is constant as activity changes.

5. The average variable cost per unit is constant as activity changes

Q2) A budget that is continually updated by adding another incremental time period and dropping the most recently completed period is called a:

A.) Pro-forma budget

B.) Capital budget

C.) Financial budget

D.)rolling budget

E.) Master Budget