Question: 18. A cost that changes in direct proportion to a change in business activity level is called: a. A fixed cost. b. A variable cost.
| 18. | A cost that changes in direct proportion to a change in business | ||||||
| activity level is called: | |||||||
| a. | A fixed cost. | ||||||
| b. | A variable cost. | ||||||
| c. | A direct cost. | ||||||
| d. | An indirect cost. | ||||||
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