University of New Haven Cost Behavior and the Relevant Range Discussion

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qbbyyr

Business Finance

University of New Haven

Question Description

I’m studying for my Accounting class and need an explanation.

Managers must understand how costs are classified, how changes in volume affect costs and how changes in prices affect volume. In general, costs are classified as fixed, variable, and mixed. 

  discussing how costs react within the relevant range.

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Running Head: COST BEHAVIOR AND THE RELEVANT RANGE

Cost Behavior and the Relevant Range
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COST BEHAVIOR AND THE RELEVANT RANGE

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Cost Behavior and the Relevant Range
Cost behavior is the ability of cost to vary depending on the level of production or sales.
Relevant range is the point at which cost remains unchanged when the volume of sales or output
changes. This pape...

NatrynAgubxv (1154)
Cornell University

Anonymous
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