The change in variable costs is calculated as:
A) The sum of the variable costs divided by the volume of activities which is then multiplied by the change in activity levels.
B) The sum of the variable costs multiplied by the change in activity levels.
C) The sum of the variable costs divided by the activity levels which is then multiplied by the change in volume of activities.
D) The sum of the variable revenues divided by the volume of activities which is then multiplied by the change in activity levels.
Correct Answer:
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