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If a firm were to downsize its salaried workforce and hire more hourly workers to meet the changing needs of production, this would most likely be an example of what effect on costs? a. For tax and accounting purposes costs of salaried workers will decrease the overall spending of the firm. Ob. This illustrates a fixed cost changing to a variable cost. Oc. This shows that some costs are partially fixed and partially variable. d. This is an example of how costs may not vary directly with each additional unit produced.

If a firm were to downsize its salaried workforce and hire more hourly workers to meet the changing needs of production, this would most likely be an example of what effect on costs? a. For tax and accounting purposes costs of salaried workers will decrease the overall spending of the firm. Ob. This illustrates a fixed cost changing to a variable cost. Oc. This shows that some costs are partially fixed and partially variable. d. This is an example of how costs may not vary directly with each additional unit produced.

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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If a firm were to downsize its salaried workforce and hire more hourly workers to meet the changing needs of production, this would most likely be an example of what effect on costs? a. For tax and accounting purposes costs of salaried workers will decrease the overall spending of the firm. Ob. This illustrates a fixed cost changing to a variable cost. Oc. This shows that some costs are partially fixed and partially variable. d. This is an example of how costs may not vary directly with each additional unit produced.
Transcribed Image Text:If a firm were to downsize its salaried workforce and hire more hourly workers to meet the changing needs of production, this would most likely be an example of what effect on costs? a. For tax and accounting purposes costs of salaried workers will decrease the overall spending of the firm. Ob. This illustrates a fixed cost changing to a variable cost. Oc. This shows that some costs are partially fixed and partially variable. d. This is an example of how costs may not vary directly with each additional unit produced.
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