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b) What is C-V-P analysis? Draw a breakeven chart with the help of imaginary figures.
(5 Marks)
Q2 How activity-based costing systems are better than the traditional volume-based methods? Also
explain activity cost hierarchy. Illustrate.
(10 Marks)
Q3 “Break even analysis is based on a simplified model of a business which is unrealistic”. Explain and
give your views. (10
Marks)
PUNJABI UNIVERSITY, PATIALA
SCHOOL OF MANAGEMENT STUDIES
(Established Under Punjab Act No. 35 of 1961)