Variable Cost Refers to

question 17

Multiple Choice

Variable cost refers to

• A)the sum of the expenses of the firm that are stable and do not change with the quantity of a product that is produced and sold.
• B)the sum of the expenses of the firm that change with the quantity of a product that is produced and sold.
• C)the total expense incurred by a firm in producing and marketing a product,which equals the sum of fixed cost and marginal cost.
• D)the average amount of money received for selling one unit of a product or simply the price of that unit.
• E)the change in total cost that results from producing and marketing one additional unit of a product.

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Definitions:

Contractual Duties

Obligations that parties are legally bound to perform as outlined in a contract.

Motivation Theory

A theory or set of theories that explains why individuals are driven to initiate, persist in, or cease specific behaviors at various times.

Coworkers

Individuals who work together in the same organization or on the same project but do not have the same direct line of authority.

Alderfer's ERG Theory

A motivational theory that categorizes human needs into three groups: Existence, Relatedness, and Growth, proposing that individuals are motivated to satisfy these needs.