Kocher Steel typically achieves one of three production levels in any given year: 8 million pounds of steel,10 million pounds of steel,or 16 million pounds of steel.In tracking some of its costs,Kocher Steel's controller discovered one cost that was $10 per pound no matter what the production level for the year.This is an example of a

Question

Quizplus · Accepted Answer

The cost that is $10 per pound regardless of production level is a variable cost, as it changes in total with the level of production but remains constant per unit.

Kocher Steel Typically Achieves One of Three Production Levels in Any