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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 known as the Profit and Loss Statement, reports the company's financial performance in terms of net profit or loss over a specified period. Income Statement is composed of the following two elements: Net profit or loss is arrived by deducting expenses from income.