Which Statement Best Describes Cost Behaviour

question 98

Multiple Choice

Which statement best describes cost behaviour?

• A)In the long run,all costs are fixed.
• B)Variable costs decrease in total in relation to the activity driver.
• C)Total fixed costs increase or decrease inversely in relation to the activity driver.
• D)Unit variable cost remains the same in relation to the activity.

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Definitions:

Learned Behaviors

Actions or reactions that individuals acquire through interaction with the environment and through reinforcement.

Needs-Hierarchy Theory

A psychological theory proposed by Abraham Maslow, suggesting that individuals have a set of needs that exist in a hierarchy, starting from basic physical needs to self-actualization.

Higher Needs

Refers to advanced stages of human motivation beyond basic physiological needs, emphasizing self-fulfillment and personal growth.

Deficit Needs

A concept in Maslow's hierarchy of needs that refers to the basic requirements for physical and psychological well-being, such as food, safety, and belonging.