Costs Which Do Not Increase with an Increase in Output

question 2

Multiple Choice

Costs which do not increase with an increase in output are called

• A)fixed costs.
• B)changeable costs.
• C)variable costs.
• D)unchangeable costs.

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Definitions:

Skill-Based Pay

A compensation system where pay levels are determined by an employee’s skills, knowledge, and the ability to perform certain tasks, rather than job title or rank.

Large Hotel

A significant accommodation facility offering a range of services, often including rooms, food, and entertainment, for travelers and guests.

Flexibility

The ability to adapt to changes or to adjust operations, policies, or procedures as required by circumstances or business needs.

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Organizations that engage employees in decision-making processes, contributing to a sense of ownership and motivation.