Which of the following cost line items would be a variable cost?
A)Office salaries
B)Rent
C)Raw Materials
D)Insurance
E)None of the above

Name: Which of the following cost line items would be a variable cost? A)Office salaries B)Rent C)Raw Materials D)Insurance E)None of the above
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Question

Quizplus · Accepted Answer

Raw materials cost is a variable cost as it changes based on the quantity of goods produced. The other options are fixed costs that remain constant regardless of production levels.

Which of the Following Cost Line Items Would Be a Variable