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Which of the following statements regarding assumptions and limitations of CVP analysis is not correct? Multiple Choice 9 : 1 7 CVP analysis relles on
Which of the following statements regarding assumptions and limitations of CVP analysis is not correct?
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:
CVP analysis relles on certain assumptions and these assumptions might limit the applicability of the resul
The limitations are due to the assumptions that the cost analyst makes; that is they are not inherent limita
The assumptions of constant unit variable cost and constant unit prices for all levels of volume are import
If unit prices change for example, if the unit prices are lower for higher volumes CVP analysis cannot be
CVP analysis is a tool that the manager can use to help with decisions.
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