A cost that has both a fixed and variable component is best termed a:
A)step-fixed cost.
B)step-variable cost.
C)semivariable cost.
D)curvilinear cost.
E)discretionary cost.

Question

Quizplus · Accepted Answer

A cost that has both fixed and variable components is known as a semivariable cost. This type of cost does not increase or decrease linearly with changes in activity levels, making it a mix of fixed and variable costs.

A Cost That Has Both a Fixed and Variable Component