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Hello sir,
In qno:1)December 2012
C part) when drawing graph Why we are not taking for calculation of s 3520000 (total rev) and 1232000(total profit)
And instead taking 5720000 total rev and 1792000 (total profit) and the same for D ?Many thanks
Because we are showing what happens to the total revenue and profit after each of the products is made in turn.
I do go through the drawing of this graph in my free lectures on CVP analysis.
(But remember that you can no longer be asked to draw any graphs in the exam, although you are expected to understand them.)
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