Which of the Following Is an Example of a Cost

question 145

Multiple Choice

Which of the following is an example of a cost that varies in total as the number of units produced changes?

• A) salary of a production supervisor
• B) direct materials cost
• C) property taxes on factory buildings
• D) straight-line depreciation on factory equipment

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Definitions:

Emancipated

Refers to a legal process through which a minor gains legal independence from their parents or guardians before reaching adulthood.

Disaffirmance

The legal act of rejecting or voiding a contract or agreement, especially by one party who was a minor at the time of entering the contract.

Age of Majority

The legally recognized age at which an individual is considered an adult and can engage in civil activities without parental consent.

Legally Binding

Refers to agreements or promises that have legal force and can be enforced by law.