Please put down $$T$$ or $$F$$ in the answer book $($T$$ for $$ True$$; $$F$$ for $$False$)$Knowing the contribution margin ratio allows you to know the contribution margin generated

by one dollar of sales. Knowing the per$-$unit contribution margin allows you to know the

contribution margin generated by one unit of sales. Knowing the contribution margin and total

fixed costs enables you to quickly determine whether you can breakeven.

One reason why it is useful to have the standard cost is that it allows a variance analysis after

the production is finished.

As a manager making decisions based on the CVP analysis, it is necessary to check whether

the assumptions you made for the CVP analysis are violated because once the assumptions

are violated your original conclusion may not still hold.

As a CFO, you do not care about financial reporting because public financial statements are

prepared for capital market participants, not managers.