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प्रश्न
"Some costs are semi-variable in nature." Comment.
Some costs are semi-variable in nature. Justify either for or against.
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उत्तर
- Definition: Semi-variable costs, often called mixed costs, include both fixed and variable components.
- Fixed Component: Part of the cost is constant, independent of production or activity.
- Variable Component: Part of the cost fluctuates according to output volume or activity level.
- Example: Utility bills frequently include a fixed base price and a variable charge based on usage.
- Behaviour: Semi-variable expenses fluctuate in total but not proportionally to changes in output or activity levels.
- Management: Understanding semi-variable costs is critical for budgeting, forecasting, and decision-making.
संबंधित प्रश्न
Distinguish between Fixed cost and Variable cost.
Variable cost is a cost that ______.
Total variable cost per unit increases ______.
Which of the following cost is time based?
It refers to the expenses incurred on those items which are not directly chargeable to production. Salaries of timekeeper, foremen and watchmen are examples of this cost. This cost is incurred for the concern as a whole rather than a particular product.
What is opportunity cost?
Distinguish between controllable and uncontrollable costs.
Distinguish between direct costs and indirect costs.
Fixed cost per unit decreases when ______.
Explain with an example, the meaning of fixed costs.
