A traditional cost-volume-profit analysis focuses on:
A)the number of units sold as the only cost and revenue driver.
B)total quality control.
C)a move toward Just-In-Time production.
D)a move toward Just-In-Time production and flexible manufacturing.
E)the activity based costing approach.

Question

Quizplus · Accepted Answer

A traditional cost-volume-profit analysis focuses on the relationship between sales price, variable cost per unit, fixed costs, and the number of units sold. It does not take into account quality control, production methods, or activity based costing.

A Traditional Cost-Volume-Profit Analysis Focuses On