Module 5

Cost Behavior and Cost Volume Profit Analysis

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5.0 Overview of Cost Volume Profit Analysis

View some of the key moments from lesson 7 with dancing graphs and one method so you don’t have to memorize any formulas.

5.1 One Formula: One Method : One Graph Past vs Future

Introducing the Bridge: One formula that you already know applied to the course and a straightforward explanation using the One Method to explain the difference between Absorption and Variable Costing

5.2 Defining Cost Behavior

Learn how to classify Costs using a Pizza Shop example with Graphics.

5.3 Splitting Mixed Costs into Variable and Fixed

The Bridge Problem Solving Method is applied to a Self Checking Puzzle format to Separate Mixed Costs. Additional Practice Problems and Solutions are in the Workbook.

5.4 CVP Pizza 1 Overview Bridge Method and Graph

Integrate the Bridge Method of Computation with the Graphical Chart to develop the foundation of Breakeven Point Analysis.

5.5 CVP Breakeven Point as a Bridge Puzzle

Apply the Bridge Method to calculate Breakeven Point without using the Formulas and apply your knowledge with Practice Puzzles and solutions.

5.6 CVP Pizza 3 Change the Variables

Module Highlight: Change Price/Unit, Variable Cost/Unit, Total Fixed Cost and Units. Make the Graphs Dance then Apply your Knowledge with Practice.

5.7 Operating Leverage and Margin of Safety

Learn these concepts using the Bridge Method for straightforward computation and application.

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