If the Activity Level Decreases, What Happens to the Total

question 160

Multiple Choice

If the activity level decreases, what happens to the total variable cost?

• A)It decreases.
• B)It increases.
• C)It remains the same.
• D)It depends on how much the activity level increases.

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Definitions:

Flexible Retirement

Programs that provide retirees with the opportunity to work after they have retired and provide them with significant flexibility in terms of how they work, what they work on, when they work, and where.

Position Vacancy

An unoccupied job or role within an organization that is open for recruitment.

Mandatory Retirement

A policy or practice that requires employees to retire at a certain age, regardless of their desire or ability to continue working.

Human Resource Audits

A comprehensive method of objectively and systematically assessing the effectiveness of an organization’s HR policies and procedures.