COST ACCOUNTING
VARIABLE COSTING
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Worker
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Building
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Raw materials
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Operation manager
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Detailed explanation-1: -The correct answer of this question is power. Explanation: Given-Is not a variable input .
Detailed explanation-2: -The most common example of a variable input is labor. A variable input provides the extra inputs that a firm needs to expand short-run production. In contrast, a fixed input, like capital, provides the capacity constraint in production.
Detailed explanation-3: -Variable inputs are those inputs of production that a firm can use as per its requirement and make changes in it easily. For example, raw materials of production, labor, capital, etc.
Detailed explanation-4: -Variable inputs are the production inputs that can be altered in the short-run, for example, the business manager can easily use a greater quantity or a lesser quantity of the input during this production period.