A variable cost is a cost that changes in total as the level of activity (either sales or production) changes. Property taxes will not be affected by the level of activity either of sales or of production.
A variable cost is a cost that changes in total as the level of activity (either sales or production) changes. Direct materials is a very good example of a variable cost, because it changes with the level of production.
A variable cost is a cost that changes in total as the level of activity (either sales or production) changes. Interest charges will not be affected by the level of activity either of sales or of production.
A variable cost is a cost that changes in total as the level of activity (either sales or production) changes. The corporate president's salary will not be affected by the level of activity either of sales or of production.
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