TION 25

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
Question 25?
QUESTION 25
Within the relevant range, a difference between variable costs and
fixed costs is:
variable costs per unit fluctuate and fixed costs per unit remain
constant.
variable costs per unit are constant and fixed costs per unit
fluctuate.
both total variable costs and total fixed costs fluctuate.
both total variable costs and total fixed costs are constant.
Transcribed Image Text:QUESTION 25 Within the relevant range, a difference between variable costs and fixed costs is: variable costs per unit fluctuate and fixed costs per unit remain constant. variable costs per unit are constant and fixed costs per unit fluctuate. both total variable costs and total fixed costs fluctuate. both total variable costs and total fixed costs are constant.
Expert Solution
Step 1

Variable cost are cost that are directly related to production. Direct material, direct labor and variable overheads are variable cost

Fixed cost are indirect cost and include rent , depreciation , insurance .

steps

Step by step

Solved in 2 steps

Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education