EBK ACCOUNTING PRINCIPLES
EBK ACCOUNTING PRINCIPLES
13th Edition
ISBN: 9781119411017
Author: Weygandt
Publisher: WILEY
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Chapter 22, Problem 3BE
To determine

Variable Cost: The cost which is not fixed is called as variable cost. This cost is directly proportional to the level of output produced, it increase with increase in output and vice versa.

Fixed Cost: The cost which is not variable is called as fixed cost. This cost is fixed at all the levels of output produced that is it remains same.

To prepare: Diagram of the behavior of the cost.

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What is variance analysis?; Author: Corporate finance institute;https://www.youtube.com/watch?v=SMTa1lZu7Qw;License: Standard YouTube License, CC-BY