BUS 1350 Module 8 Key Terms

Cost–volume–profit (CVP) analysis

A branch of financial analysis that studies the relationship between expenses, sales volume, and profitability.

Variable expenses

Expenses that change in proportion to the volume of production.

cost of goods sold

Expenses directly related to the cost of production; also known as cost of sales.

fixed expense

An expense that must be paid regardless of sales volume.

mixed expense

Expenses that are part variable and part fixed.

break-even analysis

Another term for Cost-Volume-Profit (CVP) analysis.

Cost–Volume–Profit (CVP) chart

A chart that studies the relationship between expenses, sales volume, and profitability.

data table

A range of cells showing resulting values when input values are varied in a formula; in a chart, a grid containing the chart data.

array formula

An Excel formula that performs multiple calculations within a single step.