Cost profit volume analysis, Cost Accounting

COST PROFIT VOLUME ANALYSIS

Cost profit volume (CVP) analysis is an essential tool for profit planning. It can be explained  as - ' a managerial tool showing the relationship among various ingredients of profit planning, that is, cost (fixed and variable), volume and selling price of activity.  It presents information regarding-

1. Quantity of production and sales for a target profit level

2. Behavior in relation to volume

3. Amount of profit for a projected sales volume

4. Sensitivity of profits due to variation in output

5. Volume of production or sales, where the business will break even.

Posted Date: 10/15/2012 6:57:30 AM | Location : United States







Related Discussions:- Cost profit volume analysis, Assignment Help, Ask Question on Cost profit volume analysis, Get Answer, Expert's Help, Cost profit volume analysis Discussions

Write discussion on Cost profit volume analysis
Your posts are moderated
Related Questions
explain fully the concept of the cost.how does cost accounting contribute to the effective and efficent management of an industrial established?


sales to profit volume ratio for three year

what are the purposes of cost accounting information

Sam Edwards has been the accounting manager for Jade Manufacturing in a highly competitive international market for ten years. Jade Manufacturing produces heavy equipment for two m

what do i need to know before the overhead preparation?

The next year's budget for Benny, Inc., is given below: Product 1 & 2 Sales $945,000 & 688500 Variable costs 459,900 & 297,000 Fixed costs 300

P1 Given the following data:   German Bond U.S. T- Bonds

Variable Costs Are costs such raise or fall proportionately along with the level of activity that is such portion of the cost of an activity which changes along with the leve

Ed Mettway was concerned about his firm''s ability to acquire the necessary property, plant, and equipment to take advantage of steadily increasing sales. Touring Enterprises, esta