Cost Volume Profit (CVP) Relationship in Graphic Form: Learning Objectives: Prepare a CVP graph or breakeven chart. The relationships among revenue, cost, profit and volume can be expressed graphically by preparing a cost-volume-profit (CVP) graph or break even chart. A CVP graph highlights CVP
Learning Objectives of CVP
Cost volume profit is a form of cost accounting in managerial economics. It is a simplified model, useful for basic instruction and for short-run decisions. It is based upon determining the breakeven point of cost and volume of goods.