The expenses that will continue to exist even if a department is eliminated are called:
A) traceable expenses.
B) indirect expenses.
C) controllable costs.
D) unavoidable costs.

Question

Quizplus · Accepted Answer

Unavoidable costs are expenses that will persist regardless of whether a particular department or activity is eliminated. These costs are outside of the organization's control, and there is no way to reduce or eliminate them. Examples of unavoidable costs include rent, property taxes, and insurance premiums.

The Expenses That Will Continue to Exist Even If a Department