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Blizzard [7]
2 years ago
12

Cost behavior ______. Multiple select question. is the relative proportion of each type of cost in an organization is a detailed

analysis technique used to determine whether costs are fixed or variable refers to how a cost will change as activity level changes categorizes costs as fixed, mixed and variable
Business
1 answer:
kakasveta [241]2 years ago
8 0

Answer:

refers to how a cost will change as activity level changes

Explanation:

Cost behaviour is defines as how a business's expenses will change as a result of changes in its activities.

Business managers need to consider activities that may lead to spike or decline in the in expenses.

This will lead a robust annual budget that meets the cost need of the business.

Cost behaviour is divided into 3:

- variable costs that vary directly with changes in business activities. For example direct material cost.

- fixed costs that do not change as business activity changes. For example rent

- mixed costs have a mixture of variable and fixed costs. For example cell phone service that has a fixed charge monthly and also a variable charge for texting

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Answer:

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Explanation:

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