Accounting · Cost-Volume-Profit Analysis
Match the following terms associated with CVP analysis: a. Margin of Safety — 1. Sales - Variable Cost b. P/V Ratio — 2. Sales - BE Sales c. BEP — 3. (Sales - Variable Cost) / Sales d. Contribution — 4. Total Sales = Total Cost
- 1a-1, b-2, c-3, d-4
- 2a-3, b-2, c-1, d-4
- 3a-2, b-3, c-4, d-1✓
- 4a-2, b-4, c-3, d-1
Correct answer
a-2, b-3, c-4, d-1
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