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Hello Tutor hope you are doing well. Can you please help me in the below statement. What asks whether it is true or false
C.V.P Analysis assumes that fixed cost will change if the output either falls or increase significantly
It does not assume that (even though a significant change in the output may indeed affect the total fixed cost).
But Sir the question says it’s false.
That’s what confused me as well. There are few questions where there have been step-up in the Fixed Cost.So shouldn’t it be True.
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