Asked by
Asiyo Musse
on Nov 25, 2024Verified
Variable costs are
A) costs that remain to be paid even if the firm shuts down temporarily.
B) costs that change every day or every month.
C) costs that change with the level of production.
D) changes in total cost due to the production of an additional unit of output.
Variable Costs
Costs that vary directly with the level of production or output, such as raw materials and labor expenses.
- Differentiate between variable and fixed costs and their implications for business decision-making.
Verified Answer
CG
Learning Objectives
- Differentiate between variable and fixed costs and their implications for business decision-making.