Figure 3-2. -Refer to Figure 3-2. the Cost Behavior of the Materials

question 100

Multiple Choice

Figure 3-2.
-Refer to Figure 3-2. The cost behavior of the materials cost is

• A) fixed
• B) variable
• C) committed
• D) discretionary

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Definitions:

Revenue

The overall revenue accrued from the sales of products or services pertinent to a company's main business activities.

Spending Variances

The gap between what was planned to be spent according to the budget and the real amount expended.

Activity Variances

The differences between the budgeted and actual costs of activities performed by a business.

Meals Served

The total number of individual meal portions provided or sold during a specific time frame, often used in the food service industry to measure output.