Each PC Produced by HP Involves a Cost of Computer

question 65

Multiple Choice

Each PC produced by HP involves a cost of computer chips, wires, plastic, packaging, and other inputs. Although these costs tend to be the same for each unit produced, they are called costs because the total
Changes based on the number of units produced.

• A) variable
• B) capital
• C) payroll
• D) fixed
• E) target

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Definitions:

Cost Accounting System

A system of accounting for recording, classifying, allocating, summarizing, and analyzing various alternative courses of action for controlling costs.