Which of the Following Statements Is True

question 224

Multiple Choice

Which of the following statements is true?

• A)Opportunity cost = explicit cost - implicit cost.
• B)Total cost = fixed cost + implicit cost.
• C)Total cost = fixed cost + variable cost.
• D)Variable cost = wages + salaries + benefits.

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Definitions:

Budgeted Sales

Budgeted Sales represent the anticipated sales revenue of a business, based on forecasted selling quantities and prices for a specific period.

Cash Collections

The process of gathering all payments or monetary amounts received from customers over a period.

Accounts Receivables

Money owed to a company by its customers for goods or services that have been delivered but not yet paid for.

Selling and Administrative

Expenses related to the selling of products and the administration of business operations, excluding manufacturing costs.