Notifications
Clear all

Assume that me current sales level is 15,000 units of Product A and 5,000 units of Product B Using cost-volume-profit analysis which of the following courses of action would maximize profit in the short term?

1 Posts
1 Users
0 Likes
74 Views
(@rippebrain)
Posts: 721
Noble Member
Topic starter
 

London Corporation has in the following cost structure for two of its product.

Assume that me current sales level is 15,000 units of Product A and 5,000 units of Product B Using cost-volume-profit analysis which of the following courses of action would maximize profit in the short term? Assume that fixed costs are sunk costs in the short term.

  • A . Continue to make and sell Product A only.
    B. Continue to make and sell Product B only
    C. Continue to make and sell both Product A and Product B
    D. Discontinue making and selling Doth products

Show Answer Hide Answer

Suggested Answer: A
 
Posted : 30/12/2022 2:38 pm

Latest IMA CMA Strategic Financial Management Dumps Valid Version

Latest And Valid Q&A | Instant Download | Once Fail, Full Refund
Share: