Which of the following costs is a variable cost?
A)supervisors' salaries
B)research and development
C)materials used in production
D)rent

Question

Quizplus · Accepted Answer

Variable costs are those that vary in direct proportion to changes in the level of activity or output. Materials used in production are directly related to the level of production, making it a variable cost. Supervisors' salaries and rent are fixed costs as it remains the same regardless of the level of production, while research and development expense is generally considered a period cost.

Which of the Following Costs Is a Variable Cost