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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.
Learn how to create an income statement. An income statement is the most basic principle of accounting. It records a company's profit margins over a specified duration of time, ranging anywhere from one week to one year. The income statement is determined by two factors: the business's revenues and its expenses.