Break-even analysis also known as _____________.

Margin of safety

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Cost-volume-profit analysis

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Fund flow analysis

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Cash flow analysis

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Solution

The correct option is B Cost-volume-profit analysis
Cost Volume Profit (CVP analysis), also commonly referred to as Break Even Analysis, is a way for companies to determine how changes in costs (both variable and fixed. One of the most popular methods is classification according to fixed costs and variable costs.

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Comparative analysis is also known as ________ analysis.

This analysis is also known as ‘Vertical analysis’.

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