Cost-volume-profit analysis is based on necessary assumptions. Which of the following is not one of these assumptions?
A. Relevant range includes all possible levels of activity that a company might experience.
B. Costs can be classified as variable or fixed.
C. Total fixed costs are held constant.
D. A constant sales mix in a multiproduct company.
E. Sales price and variable costs per unit of output remain constant as volume changes.
Answer: A
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