An amount by which the total cost changes with respect to the change in level of activity is classified as ____________?

Related Mcqs:

1. The cause and effect relationship that exists between change in total cost level and change in level of activity, is measured with the help of ___________?

   A. production driver
   B. cost driver
   C. price driver
   D. estimation driver

2. The description in mathematical form to represent changes in cost, with level of activity related to that cost is classified as ____________?

   A. cost function
   B. revenue function
   C. unit function
   D. relative function

3. The cost function, in which cost does not change with any change in level of activity is a part of __________?

   A. step price functions
   B. step object functions
   C. step constant functions
   D. step cost functions

4. The component of total cost, which never changes with change in level of production is classified as _________?

   A. fixed cost
   B. constant
   C. variable
   D. both a and b

5. To decide whether the cost is variable cost or fixed cost with respect to some specific activity depends upon ___________?

   A. units of labor
   B. unit of production
   C. time horizon
   D. units of inventory

6. Within the relevant range, the cost function in which cost does not change in narrow ranges of activity is called ____________?

   A. fixed cost function
   B. variable cost function
   C. step variable cost function
   D. step fixed cost function

7. An analysis and estimation method of cost, by classifying cost accounts as fixed or variable with respect for specific output level is considered as _____________?

   A. manufacturing analysis method
   B. price analysis method
   C. unit analysis method
   D. account analysis method

8. The type of relationship stating “how changes in cost driver drives cause changes in cost” will be termed as ___________?

   A. marginal plausibility
   B. economic plausibility
   C. financial plausibility
   D. market plausibility

9. The relationship between change in activity and change in total costs is considered as __________?

   A. fixed relationship
   B. cause and effect relationship
   C. ineffective relationship
   D. variable relationship

10. The lump sum cost that remains unchanged in total despite of changes in total volume is classified as __________?

    A. unchanged price
    B. unchanged cost
    C. fixed overhead cost
    D. variable overhead cost