Changes in volume/sensitivity analysis

Question 1

MOS

Answer 1

The difference between budgeted sales and break-even sales.

Question 2

6 decision steps

Answer 2

1. Identify a choice criterion
2. Identify a set of alternative actions.
3. Identify a set of events that can occur.
4. Assign a probability to each mutually exclusive events that can occur.
5. Identify the set of possible outcomes
6. Expected (monetary value)