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From a strategic management perspective, the primary reason a firm performs CVP analysis for breakeven planning is to find the level of sales that:

a) Assures the firm a desired level of profit.

b) Will allow the firm to compete in a market place.

c) Will just cover all fixed costs.

d) Promises a satisfactory growth in revenue.

e) Reduces the threat of bankruptcy.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M943965

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