Four Cost Concepts Are Important in Pricing Decisions: Total Cost

question 148

Multiple Choice

Four cost concepts are important in pricing decisions: total cost, fixed cost, variable cost, and __________ cost.

• A)dividends
• B)liquidity
• C)discretionary
• D)unit variable
• E)marginal

Assess the ethical considerations in business communication.

Utilize techniques for gathering information effectively.

Choose appropriate communication channels and mediums for message delivery.

Recognize the role of audience understanding in tailoring message content.

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Definitions:

Fund Balance―Nonspendable

The portion of a government's fund balance that cannot be spent because it is either not in spendable form or legally or contractually required to be maintained intact.

General Fund

A primary accounting fund used by a government to record its general operating revenues and expenses.

Fund Balance

The net assets of a governmental fund calculated as the difference between fund assets and liabilities, reflecting the financial position of the fund.