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Which of the Following Statements Describe Variable Costs? Please Select

Question 15

Multiple Choice

Which of the following statements describe variable costs? Please select all that apply.


A) These costs change in line with changes in production.
B) These costs are absorbed into products on the basis of labour or machine hours in a traditional costing system.
C) These costs are £nil when no production takes place.
D) These costs can be direct costs of production or indirect costs.

Correct Answer:

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