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ASSUMPTIONS OF BREAK EVEN ANALYSIS
1. Fixed costs for all time remain constant.
2. All costs are divided into fixed and variable costs.
3. Selling price will not alter despite competition.
4. Variable costs SVD change in direct proportion to production.
5. There is no alteration in common price level.
6. There is no alteration in operating efficiency.
7. Quantity of production is the only affecting factor.
8. Quantity of sales and volume of production are equal.
9. Only one product or sales mix is same.
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Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4 Variable costs are those
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Semi Variable Costs Are costs along with both a fixed and variable cost component? The fixed component is such portion that is constant irrespective of the level of activity.
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