Asked by Thanyarat Pinsumrout on Sep 23, 2024
Verified
Total costs equal
A) Fixed costs
B) Variable costs
C) Sunk costs
D) Fixed costs plus variable costs
Fixed Costs
Fixed costs are business expenses that remain constant regardless of the level of production or sales.
Variable Costs
Costs that vary directly with the level of production or output.
- Acquire knowledge on the formulation and reckoning of total business costs.
Verified Answer
IC
Inspirational Channel6 days ago
Final Answer :
D
Explanation :
Total costs are the sum of fixed costs and variable costs. Sunk costs, on the other hand, are costs that have already been incurred and cannot be recovered. Therefore, the best choice is D, which correctly identifies total costs as the sum of fixed and variable costs.
Learning Objectives
- Acquire knowledge on the formulation and reckoning of total business costs.
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