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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
A number of limitations are commonly mentioned with respect to CVP analysis: 1. The analysis assumes a linear revenue function and a linear cost function. 2. The analysis assumes that what is produced is sold. 3. The analysis assumes that fixed and variable costs can be accurately identified. 4. For multiple-product analysis, the sales mix is assumed to be known and constant. 5. The selling prices and costs are assumed o be known with certainty.
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