Chapter Five Cost Behavior: Analysis and Use Learning Objective 1 Understand how fixed and variable costs behave and how to use them to predict costs. Recall the summary…
The Activity Base A measure of what causes the incurrence of a variable cost. 5-* Minutes Talked Total Long Distance Telephone Bill True Variable Cost Example A variable…
Comparison of Financial and Managerial Accounting Opportunity Costs The potential benefit that is given up when one alternative is selected over another. Example: If you…
Learning Objective LO1 To understand how fixed and variable costs behave and how to use them to predict costs. Types of Cost Behavior Patterns Recall the summary of our cost…
Cost Behavior: Analysis and Use Chapter 5 * A variable cost is a cost whose total dollar amount varies in direct proportion to changes in the activity level. Types of Cost…
Comparison of Financial and Managerial Accounting Opportunity Costs The potential benefit that is given up when one alternative is selected over another. Example: If you…
Cost Behavior: Analysis and Use Chapter 5 * A variable cost is a cost whose total dollar amount varies in direct proportion to changes in the activity level. Types of Cost…