5 Questions
Which cost can be directly traced to a specific product or service?
Material cost
Which cost remains the same regardless of the level of production or sales?
Rent
Which cost varies with the level of production or sales?
Raw materials
Which cost remains fixed within a certain range of production or sales and increases in steps beyond that range?
Adding an additional production line
Which cost includes both fixed and variable components?
Utilities
Test your knowledge of cost classification with this quiz! Learn about direct costs, which can be directly traced to a product or service, and indirect costs, which cannot. Explore variable costs that vary with production or sales levels. Perfect for students and professionals in accounting, finance, and business management.
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