The level of discretionary costs
A)are set by management for one period at a time.
B)cannot be changed in the short run.
C)are determined when capital investment is undertaken.
D)always varies with sales.

Question

Quizplus · Accepted Answer

Discretionary costs are those that are not fixed and can be altered in the short term by management decisions. They are set by management for one period at a time based on various factors, including expected needs and financial performance, and are not inherently fixed or tied to sales or capital investments.

The Level of Discretionary Costs