Why Is It Important to Separate Mixed Costs into Fixed

question 21

Multiple Choice

Why is it important to separate mixed costs into fixed and variable portions

• A)Mixed costs perform like variable costs.
• B)The accuracy of budgets may be reduced if mixed costs are fully allocated to either the fixed or variable cost pools.
• C)Mixed costs need to be removed from consideration in budgeting.
• D)Mixed costs perform like fixed costs.

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