Data for Cost a and Cost B Appear Below

question 148

Multiple Choice

Data for Cost A and Cost B appear below: Which of the above best describes the behavior of Costs A and B?

• A)Cost A is fixed,Cost B is variable.
• B)Cost A is variable,Cost B is fixed.
• C)Both Cost A and Cost B are variable.
• D)Both Cost A and Cost B are fixed.

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Definitions:

Internal Control

A system of policies and procedures implemented by a company to ensure the integrity of financial and accounting information, enhance operational efficiency, and promote adherence to applicable laws and regulations.

Bank Account

An account held by an individual or business with a financial institution, allowing for the deposit and withdrawal of funds.

Physical Custody

The actual possession or direct control of tangible assets, documents, or securities.

Asset Records

Documentation that details the acquisition, valuation, and disposal of assets owned by an individual or organization.