A cost that changes as volume changes,but at a nonconstant rate,is called a:
A)Variable cost.
B)Curvilinear cost.
C)Step-wise variable cost.
D)Fixed cost.
E)Differential cost.

Question

Quizplus · Accepted Answer

A curvilinear cost is a cost that changes as volume changes, but at a nonconstant rate, meaning the rate of change is not a straight line. This type of cost is also known as a nonlinear or variable cost. Option A, variable cost, is a broad term that encompasses both curvilinear and step-wise variable costs. Option C, step-wise variable cost, refers to a cost that changes only when a specific volume threshold is reached, whereas a curvilinear cost changes continuously. Option D, fixed cost, does not change as volume changes. Option E, differential cost, refers to the difference in cost between two alternative courses of action. It is not related to the rate of change of cost with volume.

A Cost That Changes as Volume Changes,but at a Nonconstant