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Karley Swisher
on Nov 20, 2024

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Tomas manages a Pizza Hut restaurant and is considering changing the hours of the restaurant by keeping it open later on Friday and Saturday nights. He is concerned about the additional costs of labor and ingredients this decision will create. What type of costs is Tomas concerned with?

A) inelastic
B) total
C) variable
D) elastic
E) fixed

Additional Costs

Expenses incurred beyond the initial purchase price or budgeted amounts, often unexpected or unplanned for.

Variable Costs

Expenses that change in proportion to the activity or volume of a business, such as materials and labor costs.

Labor

The work performed by individuals that contributes to the production of goods and services in an economy.

  • Distinguish among different cost types (variable, fixed, total) and their reactions within assorted business environments.
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Nathan EdwardsNov 26, 2024
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