Variable spending arising as part of the operation and maintenance of abatement processes is known as
A) capital costs
B) operating costs
C) fixed costs
D) implicit costs

Question

Quizplus · Accepted Answer

Operating costs refer to the variable expenses incurred in maintaining and operating abatement processes. This includes costs such as labor, energy, and materials that are necessary for the day-to-day functioning of the abatement system. Capital costs, on the other hand, refer to the expenses incurred in acquiring and installing the abatement equipment itself. Fixed costs are expenses that do not vary with the volume of production or operation, while implicit costs are opportunity costs that arise from choosing one alternative over another.

Variable Spending Arising as Part of the Operation and Maintenance