If the Activity Level Increases 10% Total Variable Costs Will

question 89

Multiple Choice

If the activity level increases 10% total variable costs will

• A) remain the same.
• B) increase by more than 10%.
• C) decrease by less than 10%.
• D) increase 10%.

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Definitions:

Marketing Segmentation

The process of dividing a broad consumer or business market, normally consisting of existing and potential customers, into sub-groups of consumers based on some type of shared characteristics.

Demographics

Statistical data relating to the population and particular groups within it, often used in marketing to segment markets by age, gender, income level, and other attributes.

Consumer Behaviour

The study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences.

Demographics

Statistical data related to the characteristics of a population, such as age, gender, income, and education.