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Company pay rent of machine depend on hours usage this cost is:

A- fixed cost b- variable cost c- mixed cost d-None

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Question added by Ahmed kandil , Cost Controller , Battour Holding Cpompany
Date Posted: 2015/04/29
Mohammad Athar
by Mohammad Athar , Senior Accountant , Techno

B (variable cost). It would increase with higher usage and vice versa.

FITAH MOHAMED
by FITAH MOHAMED , Financial Manager , FUEL AND ENERGY CO for transportion petroleum materials

b->>>>>>>>>>>>>>>>>>>>>>>> variable cost

Sudhinlal M
by Sudhinlal M , Digital Media Marketing Manager , Green Architects & Builders

b) Variable Cost.

 

Variable costs are those costs that vary depending on a company's production volume; they rise as production increases and fall as production decreases

Md. Moshiur Rahman Sumon
by Md. Moshiur Rahman Sumon , Assistant General Manager( Corporate Finance & Head of Internal Audit) , Progressive Life Insurance Company Limited

B is the right answer-Variable Cost

Saidul Alam
by Saidul Alam , Accountant , Akhtar Al Balushi Trad. & Cont. L.L.C

Correct Answer is Variable Cost.....................

   

Ahmed kandil
by Ahmed kandil , Cost Controller , Battour Holding Cpompany

correct answer is variable cost 

Purushottam Thapa
by Purushottam Thapa , GENERAL ACCOUNTANT , KHAYARAT FAHUD LLC

variable cost as it varies the no of hours run.

sameer chogule
by sameer chogule , Senior Accountant , Robusta coffee Company

Variable Cost (hours usage )

 

Ahmed Said
by Ahmed Said , Cost accounting supervisor , Roots Steel international

This Rent Will be a Variable Cost

Arslan Ali Khan ali
by Arslan Ali Khan ali , Accounts and Finance Assistant , Vertex Electronic pvt limited

C. mixed cost or step up cost, it means if company is going to increase its production then usage of machinery would increase,so extra cost incurred so called step up cost

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