ACC 202 WORSKSHOP THREE COSTVOLUME-PROFIT HANDOUT FOR 3.3 DROPBOX
Download Cost-Volume-Profit Handout for 3.3 Dropbox Review the questions below. As you watch the video Cost-Volume-Profit Analysis, take notes and answer the following questions for Dropbox submission:
Question 1. What is the difference between the selling price per unit and all variable costs per unit? 2. In making short-term decisions regarding output, why are fixed costs irrelevant? 3. What is the numerator in the calculation to find the break-even volume? 4.
To which term in the break-even volume calculation is the desired profit added?
5. What would happen to the break-even point if the variable cost per unit fell? 6. By how much would projected profits increase if fixed costs fell by $10,000?