Classifying costs as fixed and variable in a service entity enables managers to
A) control costs.
B) measure performance.
C) cost services.
D) cost organisational units.

Question

Quizplus · Accepted Answer

Classifying costs as fixed and variable helps managers control costs by understanding which costs change with activity levels and which do not, allowing for better budgeting and cost management.

Classifying Costs as Fixed and Variable in a Service Entity