A variable cost increases in total as the volume increases.Variable costs are those that change,in total,in direct proportion to changes in activity levels.

Name: A variable cost increases in total as the volume increases.Variable costs are those that change,in total,in direct proportion to changes in activity levels.
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Question

Quizplus · Accepted Answer

Variable costs such as raw materials or direct labor increase as production volume increases. This is because as more units are produced, more raw materials and labor are needed.

A Variable Cost Increases in Total as the Volume Increases