accounting please help! A CVP graph such as the one shown...
80.2K
Verified Solution
Link Copied!
Question
Accounting
accounting please help!
A CVP graph such as the one shown below is a useful technique for showing relotionships among an organization's costs, volume, and profiss. Required: 1. Identify the numbered components in the CVP graph. 2. State the effect of each of the following actions on line 3, line 9, and the break-even point. a. The unit selling price is increased from $18 to $20 b. Unit variable expenses are decreased from $12 to $10 c. Fixed expenses are increased by $3,000 per period. d. Two thousand more unts are sold during the period than were budgeted e. Due to paying salespersons a commission rather than a flat salary, foxed expenses are reduced by $8,000 per period and unit. variable expenses are increased by 53 , toue to an increase in the cost of materlats, both unit variable expenses and the selling price are increased by $2. 9. Advertising costs are increased by $10,000 per period, resulting in a 10% increase in the number of units sold. h. Due to automating an operation previously done by workers, foced expenses are increased by $12,000 per period and unit variable expenses are reduced by $4
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!