Which statements about cost-volume-profit analysis are correct?
1. Profits are calculated on an absorption costing basis.
2. Profits are calculated on a marginal costing basis.
3. It only applies where there is a constant sales mix.
4. It only applies where there is a changing sales mix.
1 )
1 and 3
2 )
1 and 4
2 and 3
4 )
2 and 4
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