Operating Costs That Do Not Change When Production Levels Change

question 42

Multiple Choice

Operating costs that do not change when production levels change are called ______ costs

• A)variable
• B)lumpy
• C)direct
• D)fixed
• E)forecasting

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Definitions:

Discounting

The practice of reducing the selling price of goods or services, often to attract customers or accelerate sales.

Sales Goals

Targets set for the sales team to achieve within a specific time frame, which can include metrics like revenue, volume of goods sold, or market share.

Unit Sales

The measurement of the total number of individual units of a product sold by a company.

Pricing Objective

The goals that an organization aims to achieve through its pricing strategies, such as maximizing profit, increasing market share, or ensuring sustainability.