A factor that causes or leads to a change in a cost or activity is a(n)
A) cost formula.
B) step cost.
C) mixed cost.
D) driver.

Question

Quizplus · Accepted Answer

A driver is a factor that causes or leads to a change in a cost or activity. Cost formula refers to the equation used to calculate a cost, step cost refers to a cost that changes abruptly at certain levels of activity, and mixed cost is a cost that contains both a fixed and variable component.

A Factor That Causes or Leads to a Change in a Cost