Question: If production volume does not equal sales volume: a) we must adjust the CVP formulas for that fact to use CVP. b) the conclusions we
If production volume does not equal sales volume:
a) we must adjust the CVP formulas for that fact to use CVP.
b) the conclusions we draw from a CVP analysis will not be as sound as they would be if we assumed production equaled sales.
c) the CVP analysis will always indicate a break-even point that cannot be reached.
d) we cannot use CVP, since an assumption is violated
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