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Which type of costs vary directly with the level of output and include inputs like raw materials and direct labor?
  • a)
    Fixed costs.
  • b)
    Semi-variable costs.
  • c)
    Pecuniary costs.
  • d)
    Variable costs.
Correct answer is option 'D'. Can you explain this answer?
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Which type of costs vary directly with the level of output and include...
Variable costs vary directly with the level of output and include inputs like raw materials and direct labor. These costs increase as production volume increases and decrease as production volume decreases.
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Which type of costs vary directly with the level of output and include inputs like raw materials and direct labor?a)Fixed costs.b)Semi-variable costs.c)Pecuniary costs.d)Variable costs.Correct answer is option 'D'. Can you explain this answer?
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