Limitation of Any Negative Consequence or Reduction in Probability of a Particular

question 7

Multiple Choice

Limitation of any negative consequence or reduction in probability of a particular event

• A) Mitigation
• B) Reduction
• C) Residual

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Definitions:

Per Unit Cost

The average cost associated with producing or acquiring one unit of a product or service.

Variable Expenses

Costs that change in proportion to the activity of a business.

Sales Revenues

The income received by a company from its sales of goods or the provision of services.

Absorption Costing

This refers to an accounting strategy that comprehensively adds the costs of direct materials, direct labor, and both varying and fixed overheads into the total cost of manufacturing a product.