Select the Appropriate Classification of Each of the Costs Listed

question 166

Multiple Choice

Select the appropriate classification of each of the costs listed below.Each classification may be used more than once, and it is possible that one or more of the classifications may not be used at all.
-Real estate taxes

• A)Variable cost
• B)Fixed cost

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Definitions:

Business Combination Valuation Entries

Journal entries that record the valuation of assets, liabilities, and contingent liabilities at fair value in a business combination.

Depreciation Expense

The systematic allocation of the cost of a tangible asset over its useful life, reflecting the consumption of the asset's economic value.

Goodwill

An intangible asset that arises when a company acquires another company for a price higher than the fair value of its net assets, representing the value of the brand, customer relationships, and other intangible aspects.

Dividend Payable

A liability recognized on a company's balance sheet when it declares dividends to be paid to shareholders.