Which of the Following Is Not Classified as a Variable

question 59

Multiple Choice

Which of the following is not classified as a variable product cost?

• A)Direct materials
• B)Electricity
• C)Sales commissions
• D)Indirect materials

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Definitions:

Accounts Receivable

Money owed to a company by customers for products or services that have been delivered but not yet paid for.

Subsidiary Ledger

A detailed ledger that contains the individual accounts related to a specific main account, such as accounts receivable or accounts payable.

Cash Sales

Transactions where payment is made immediately in cash at the time of sale.

Cash Payments Journal

A ledger book or digital record maintaining details of all cash payments made by a business.