Variable manufacturing overhead costs such as power are considered to be which of the following?
A)a semivariable,or mixed,cost having both variable and fixed components.
B)a variable cost with variable components,only.
C)a fixed cost with fixed components,only.
D)all of the above

Question

Quizplus · Accepted Answer

Variable manufacturing overhead costs like power have both variable and fixed components. While the cost may vary depending on production levels, there is also a fixed element to the cost that will be incurred regardless of the level of production. Therefore, these costs are considered a semivariable or mixed cost.

Variable Manufacturing Overhead Costs Such as Power Are Considered to Be