Costs That Vary in Total in Direct Proportion to Changes

question 79

Multiple Choice

Costs that vary in total in direct proportion to changes in an activity level are called

• A) fixed costs
• B) sunk costs
• C) variable costs
• D) differential costs

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Definitions:

Availability

Refers to how easily something can be accessed or retrieved from memory, influencing how likely people are to use that information when making decisions or judgments.

Counterfactual Thinking

involves imagining alternative scenarios and outcomes that might have occurred but didn't.

Inevitable Outcomes

Results or consequences that are certain to happen and cannot be avoided or changed.

Predictable Outcomes

Results or consequences that can be anticipated due to known factors, patterns, or previous observations.