Asked by Shay D. Davis on May 18, 2024

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A mixed cost has characteristics of both variable and fixed costs.

Mixed Cost

An expense that contains both fixed and variable components, changing with the level of output but also incurred when there is no output.

Variable Costs

Costs that change in proportion to the level of production or sales activity, such as materials and labor directly involved in a company's product.

Fixed Costs

Expenditures that do not vary with the level of activity or production within a short time frame.

  • Distinguish and outline the distinctions among variable, fixed, and mixed costs.
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MT
Melexi ThomasMay 24, 2024
Final Answer :
True
Explanation :
A mixed cost has both variable and fixed elements. The fixed cost component remains constant, while the variable cost component changes based on the level of activity.