There are a number of caveats that should be kept in mind when using the cost-volume-profit graph and its variations.

Which of the following is false?

a. Costs are not solely volume driven b. The cost-volume relationship diagrammed is unlikely to be true for the entire range of volume presented c. The classification of costs as being either fixed or variable does not change as the time horizon being considered expands or contracts d. Not all costs change in a linear relationship to volume.