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21 Apr 2018

General Discussion: Discuss how managers use CVP analysis in themanagement process and how they can project the profitability ofproducts and services. Define cost behavior, and provide examplesof variable, fixed, and mixed costs.

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Elin Hessel
Elin HesselLv2
23 Apr 2018

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discuss the basic assumptions of CVP analysis and how we can useCVP analysis in making decisions as managers.

"Only those costs that change need be included in thedecision-making process." Evaluate this statement and discuss itsmerits or shortcomings based Becker content.

Based on your e-book readings and review of both the lecture andBecker content, discuss the basic assumptions of CVP analysis andhow we can use CVP analysis in making decisions as managers.

"Only those costs that change need be included in thedecision-making process." Evaluate this statement and discuss itsmerits or shortcomings based on your e-book readings and yourreview of both the lecture and Becker content.

What is the strategic role of CVP analysis for the cardiaccatheterization unit of the Ramalah Hospital? After reading thearticle, locate the latest annual report, using EDGAR or Yahoo!Finance, for a different type of service organization. In yourinitial post to the discussion, you will include a link to theannual report. Discuss the following:

What key differences can you identify between the organizationyou researched in the strategic role of CVP analysis and thecardiac catheterization unit identified in the article?

What do you attribute this difference to? Are there any majorsemi-variable or mixed costs that complicate CVP analysis?

Since you will not be able to derive the actual costs to derivea break-even point, include in your discussion and analysis, theidentification of the main cost items used to calculate fixedcosts. Additionally include in your analysis how you wouldcalculate the unit variable costs.

Service organization of choice: financial instution TD Bank,here is the annual report for 2017:

https://www.td.com/document/PDF/ar2017/ar2017-Complete-Report.pdf

Here is the article for the Ramalah Hospital:

https://pdfs.semanticscholar.org/4eab/f85e2ab3d13c8614de0b0f4762afae07a050.pdf

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