Course detailsCost Volume Analysis - CVP
- Explain variable, fixed, and mixed costs and the relevant range.
- Apply the high-low method to determine the components of mixed costs.
- Prepare a CVP income statement to determine contribution margin
- Compute the break-even point using three approaches
- Determine the sales required to earn target net income and determine margin of safety.
- Use CVP analysis to respond to changes in the business environment.
- Describe management's decision making process and incremental analysis.
- Incremental analysis approach
- How incremental analysis works
- Types of incremental analysis
- Analyze the relevant costs in various decisions involving incremental analysis.
- Special price order
- Make or buy
- Sell or process further
- Repair, retain, or replace equipment
- Eliminate an unprofitable segment or product
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