Fixed Costs

question 26

Multiple Choice

Fixed costs:

• A) are a constant percentage of sales revenues.
• B) vary with the level of depreciation expense.
• C) are constant with changes in the level of output.
• D) are inversely related to the level of output.

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Definitions:

Basic Dimension

A numerical value that describes the theoretically exact size, profile, orientation, or location of a feature without any allowance for tolerances.

Dimensions Locating

The process of defining and marking the exact locations of features on manufactured parts, crucial for their proper assembly and function.

Target Areas

Specific regions designated for attention or action in a project or on a drawing.

Datum Feature

A reference point, axis, or plane from which dimensions are measured, providing a starting point for the geometric control of a part.