A manager determined that certain costs were not responsive to changes in activity level.What are these costs?

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Quizplus · Accepted Answer

Fixed costs are typically not responsive to changes in activity level, as they generally represent a set amount of expenses that do not vary based on production or sales volume. Mixed costs contain both fixed and variable elements, so only a portion of the costs may be unresponsive. Flexible costs are highly responsive to changes in activity level, while variable costs generally change with the level of production or sales.

A Manager Determined That Certain Costs Were Not Responsive to Changes