Unit Variable Cost Refers to

question 249

Multiple Choice

Unit variable cost refers to

• A)variable cost expressed as the sum of all units sold.
• B)variable cost expressed as a percentage of total sales.
• C)variable cost expressed on a per unit basis for a product.
• D)variable cost expressed as a percentage of fixed costs.
• E)variable cost expressed as a percentage of total profit.

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Definitions:

Revenues

The total income generated by a company from its normal business activities, often from the sale of goods and services to customers.

Cash Receipts

These are the amounts of money received by a company during a specific period, including all forms of cash inflow from operations, financing, and investing activities.

Cash Payments

Transactions in which payment for goods or services is made in cash at the time of the transaction.

Liabilities

Financial obligations or debts that a company owes to others, which must be settled over time through the transfer of economic benefits.