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A fixed cost: Multiple Choice Is irrelevant for cost-volume-profit and short-term decision making. Changes with changes in the volume of activity within the relevant range. Does not change with changes
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A fixed cost: Multiple Choice Is irrelevant for cost-volume-profit and short-term decision making. Changes with changes in the volume of activity within the relevant range. Does not change with changes in the volume of activity within the relevant range. Is directly traceable to a cost object. Requires the future outlay of cash and is relevant for future decision making.

User Sally
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1 Answer

21 votes
21 votes

Answer:

Does not change with changes in the volume of activity within the relevant range

Step-by-step explanation:

The fixed cost is the cost that remains fixed whether the production level is increased or it should remain the fixed. The examples like depreciation expense, rent expense, etc

So it does not change when the volume of activity vary

Therefore the third option is correct

And, the rest of the options are incorrect

User RoneRackal
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