Part 1[3]
Explain one limitation for BB of using break-even analysis.
Business 9609 · AS & A Level · Costs
Costs — practice question
Worked solution & mark scheme
This 3-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Knowledge: Recognition of a limitation of break-even analysis (e.g. assumes fixed costs constant, assumes output = sales, assumes variable cost per unit constant, assumes price constant, only useful for limited product lines, ignores external factors, is only an estimate).” …
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- Step-by-step worked solution
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