Explain CVP graph movements on line 3, line 9, and break-even point (in terms of unit and
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Explain CVP graph movements on line 3, line 9, and break-even point (in terms of unit and in terms of total $ sales) by describing it as shifting line up (down) / having a steeper (flatter) slope / points increase (decrease) / remain unchanged / direction is uncertain. Each scenario below is independent.
- To do: Adjust your excel graph and save under each scenario. Explain in the write ups how you changed your graph in that scenario and how the graph changes from the original scenario. Use printscreen to make it evident.
- Possible terms for lines 3&9: Remain unchanged; Shift (up/down ward); Have a (steeper/flatter) slope; Shift upward and Have a (steeper/flatter) slope; Shift downward and Have a (steeper/flatter) slope
- Possible terms for breakeven point: Remain unchanged; increase, decrease, probably change but uncertain
Related Book For
Managerial Accounting
ISBN: 9780073526706
12th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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