Which of the following costs would be incurred even if no units were produced?
A) raw material costs
B) direct labor costs
C) transportation costs
D) building rental costs
E) purchasing costs

Question

Quizplus · Accepted Answer

Building rental costs would be incurred regardless of whether any units are produced as it is a fixed cost. Raw material costs, direct labor costs, transportation costs, and purchasing costs are all variable costs that would only be incurred if units were produced.

Which of the Following Costs Would Be Incurred Even If