Using account analysis, what type of cost is the price of gasoline when your car gets 30 miles per gallon and each gallon costs $3.65?
A)Fixed
B)Mixed
C)Variable
D)Step

Question

Quizplus · Accepted Answer

The price of gasoline is a variable cost because it varies directly with the number of miles driven. As the car is driven more, more gallons of gasoline are needed, and the cost will increase proportionally.

Using Account Analysis, What Type of Cost Is the Price