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CVP income statement is arranged to show variable expenses, contribution margin and fixed expenses allowing a business to make cost volume profit decisions. CVP income statement is arranged to show variable expenses, contribution margin and fixed expenses allowing a business to make cost volume profit decisions.
Income statement (also referred to as (a) statement of income and expense or (b) statement of profit or loss or (c) profit and loss account) is a financial statement that summaries the results of a companyâs operations for a period. It presents a picture of a companyâs revenues, expenses, gains, losses, net income and earnings per share (EPS).