Variable Costing Allows a Manager to Classify Controllable Costs as

question 6

Multiple Choice

Variable costing allows a manager to classify controllable costs as

• A)variable and fixed costs.
• B)avoidable and unavoidable costs.
• C)necessary and unnecessary costs.
• D)short-term and long-term variable costs.

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Definitions:

Private Cost

The cost that is borne by the individual who creates it, as opposed to society or others.

College Degree

A qualification awarded to students upon successful completion of a course of study in higher education, often representing a specific level of expertise in a particular field.

Social Optimum

The ideal state of allocation of resources where social welfare is maximized, taking into account all costs and benefits to society.

Fire Extinguishers

Fire extinguishers are active fire protection devices used to extinguish or control small fires, often in emergency situations.