In relationship to changes in activity, variable overhead changes
A) no no
B) no yes
C) yes yes
D) yes no

Name: In relationship to changes in activity, variable overhead changes A) no no B) no yes C) yes yes D) yes no
Brand: Quizplus
Rating: 4.7 (45 reviews)

Question

In relationship to changes in activity, variable overhead changes 
A) no no 
B) no yes 
C) yes yes 
D) yes no

Quizplus · Accepted Answer

Variable overhead costs are directly related to changes in activity levels. As the activity level increases, more variable overhead costs are incurred and vice versa. Therefore, variable overhead changes with changes in activity, making option D (yes, no) the correct choice.

In Relationship to Changes in Activity, Variable Overhead Changes