Both ____ and ____ Are Part of the Rules That

question 66

Multiple Choice

Both ____ and ____ are part of the rules that govern behavior in most nations.

• A) philosophy and sociology
• B) psychology and ethics
• C) formal rules and informal rules
• D) all of the other specific choices
• E) none of the other specific choices

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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.