In general,the capacity-level costs in an activity-based costing (ABC)system are variable costs.

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Capacity-level costs are costs associated with providing the capacity to perform activities, such as providing a facility, equipment, or staff. These costs are typically fixed costs because they do not vary with the level of activity. In contrast, variable costs change in proportion to changes in activity levels. ABC systems allocate capacity-level costs to activities based on the capacity required to perform each activity, but these costs are still considered fixed in nature.

In General,the Capacity-Level Costs in an Activity-Based Costing (ABC)system Are