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Match the Word or Phrase with Its Meaning

question 22

Multiple Choice

Match the word or phrase with its meaning.
-Passive listening


Definitions:

Variable Costs

Expenses that change in proportion to the level of production or sales activity, such as raw materials and direct labor costs.

Fixed Costs

Costs that do not change with the level of production or sales activities, such as rent, salaries, and insurance premiums.

Variable Manufacturing Overhead

Costs that vary with production volume, such as utilities and materials, which are only incurred as a result of manufacturing activities.

Direct Materials

Raw materials that are directly traceable to the production of specific goods or services.

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