A Cost Is $50,000 When 25,000 Units Are Produced,and $100,000

question 2

Multiple Choice

A cost is $50,000 when 25,000 units are produced,and $100,000 when 50,000 units are produced.This is an example of a(n) :

• A)fixed cost.
• B)direct cost.
• C)variable cost.
• D)indirect cost.

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Definitions:

Market-Based View

A strategic perspective that emphasizes the importance of external market conditions in shaping a firm's strategy and competitive advantage.

Industry Attractiveness

The desirability of an industry to firms and investors, based on factors like profitability, growth potential, and competition levels.

Organizational Resources

Assets, capabilities, processes, employee time, information, and knowledge that an organization controls, useful for creating and implementing strategies.

Tangible Resources

Physical and material assets owned by a business, such as buildings, machinery, and inventory.