_____ costs are those that vary when the quantity of goods sold remains constant on a perunit basis.
A) Breakeven
B) Fixed
C) Variable
D) Flat

Question

Quizplus · Accepted Answer

Variable costs are those costs that change or vary depending on the level of production or sales volume. Examples of variable costs include direct materials, direct labor, and variable manufacturing overhead. Fixed costs, on the other hand, remain constant regardless of production or sales volume, while breakeven costs are the minimum amount of revenue required to cover all expenses at a given level of sales. Flat costs are not a commonly used accounting term.

_____ Costs Are Those That Vary When the Quantity of Goods