Question: 1- The CVP analysis and incremental analysis affect the behavior of people. Behavioral consequences can be either positive or negative. 2- What kind of effects

1- The CVP analysis and incremental analysis affect the behavior of people. Behavioral consequences can be either positive or negative.

2- What kind of effects do the CVP and incremental analysis have on employee behavior? (HINTS: CVP is simple but concentrates on contribution margin while treating some costs as fixed in the short-run).

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