Asked by Hannah Baranda on May 18, 2024

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An example of a mixed cost is

A) direct materials.
B) supervisory salaries.
C) utility costs.
D) property taxes.

Mixed Cost

Mixed cost refers to a cost that contains both variable and fixed cost components, which vary depending on the level of activity.

Utility Costs

Expenses incurred for essential services such as electricity, water, gas, and sewage.

Supervisory Salaries

Compensation paid to employees who oversee the work of other employees; it is considered a part of indirect labor costs in manufacturing settings.

  • Distinguish and classify expenditures as variable, fixed, or mixed in a designated setting.
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Verified Answer

RE
Rossie EspinoMay 19, 2024
Final Answer :
C
Explanation :
Mixed costs consist of both fixed and variable components. Utility costs are an example because they typically have a fixed base rate plus a variable rate that depends on usage.