What is the definition of a variable cost? Multiple Choice The total cost (materials, labor, and overhead) is divided by the number of units of output. A cost that varies with the cost driver, but in discrete steps within the relevant range; is also called a semi-fixed cost. A cost that changes in total in response to changes in one or more cost drivers. A cost that, within the relevant range, includes both variable and fixed cost components. The portion of the total cost that, within the relevant range, does not change with a change in the quantity of a designated cost driver.
What is the definition of a variable cost? Multiple Choice The total cost (materials, labor, and overhead) is divided by the number of units of output. A cost that varies with the cost driver, but in discrete steps within the relevant range; is also called a semi-fixed cost. A cost that changes in total in response to changes in one or more cost drivers. A cost that, within the relevant range, includes both variable and fixed cost components. The portion of the total cost that, within the relevant range, does not change with a change in the quantity of a designated cost driver.
Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 16MC: Under variable costing, a unit of product includes which costs? direct material, direct labor, and...
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What is the definition of a variable cost? Multiple Choice
The total cost (materials, labor, and
A cost that varies with the cost driver, but in discrete steps within the relevant range; is also called a semi-fixed cost.
A cost that changes in total in response to changes in one or more cost drivers.
A cost that, within the relevant range, includes both variable and fixed cost components.
The portion of the total cost that, within the relevant range, does not change with a change in the quantity of a designated cost driver.
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