Which of the Following Variables Does a Manager of an Expense

question 24

Multiple Choice

Which of the following variables does a manager of an expense center have control over?

• A) Mix of inputs
• B) Product mix
• C) Output prices
• D) Capital investments

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Definitions:

Direct Labour

Workers who are directly involved in the production of goods or services.

Variable Manufacturing Overhead

Costs that vary directly with the level of production output and can include expenses such as indirect materials and utilities.

Special Order Price

The price charged for goods or services that are offered or produced in response to a specific, often one-time, order.

Variable Selling Expense

Costs associated with selling a product that vary directly with the volume of sales.