Choose the Word or Phrase in [ ] Which Will

question 54

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-You could give an unlimited amount of assets to your [children | spouse] without incurring any gift taxes.

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Definitions:

Variable Cost

Costs that change in proportion with the level of production or business activity, such as materials and labor directly involved in production.

Activity

Refers to any action or task performed within an organization that consumes resources.

Relevant Range

The range of activity over which a company expects its operating assumptions, such as cost behavior and sales mix, to remain valid, influencing budgeting and financial planning.

Fixed Costs

Costs that do not vary with the level of production or business activity, remaining constant even when output changes.