Cost Behavior Is

question 41

Multiple Choice

Cost behavior is:

• A)the way in which costs change when the activity level changes.
• B)the difference between sales revenue and fixed costs.
• C)the same as absorption costing.
• D)the amount of sales necessary to achieve a specific profit.

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Definitions:

Dividend Per Share

The total dividends declared by a company for each outstanding share of common stock.

Expected Return

The weighted average of all possible returns for a given investment, factoring in the probabilities of each outcome, used as a tool for evaluating investments.

Percentage Return

The ratio of the net profit or loss made on an investment relative to the amount of money invested, expressed as a percentage.

Growth Rate Models

Financial models that project the future expansion of a company or economy based on historical data and assumptions about future conditions.