Which of the Following Would Probably Be a Variable Cost

question 76

Multiple Choice

Which of the following would probably be a variable cost at a college?

• A) salary of the head janitor
• B) cost of registration forms
• C) salary of the college president
• D) none of these options

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Definitions:

Relative Purchasing Power Parity

A theory in economics that suggests that changes in the exchange rates between currencies are in direct proportion to changes in the countries' price levels.

Expected Inflation

The predicted average rate at which prices of goods and services rise over time, eroding purchasing power.

Relative Purchasing Power Parity

An economic theory that suggests exchange rates between currencies adjust to negate changes in purchasing power.

Expected Inflation

The rate at which the general level of prices for goods and services is anticipated to rise.