A Cost Driver

question 20

Multiple Choice

A cost driver

• A)causes fixed costs to rise because of production changes.
• B)has a direct cause-effect relationship to a cost.
• C)can predict the cost behavior of a variable,but not a fixed,cost.
• D)is an overhead cost that causes distribution costs to change in distinct increments with changes in production volume.

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Definitions:

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations, including all of the great powers, eventually forming two opposing military alliances: the Allies and the Axis.

Democrats

A member or supporter of the Democratic Party in the United States, known for its liberal policies on social issues and emphasis on government intervention in the economy.

Republicans

A member of the Republican Party, one of the two major contemporary political parties in the United States, often associated with conservative and right-leaning policies.

Fair Deal

A set of proposals put forward by U.S. President Harry S. Truman to Congress in 1949 aimed at improving social welfare and civil rights.