Question

In: Accounting

In a decision to add or eliminate a product or service, which one of the following...

In a decision to add or eliminate a product or service, which one of the following is an avoidable expense?

a.         Insurance on the building

b.         Variable overhead

c.         Allocated overhead

d.         Depreciation

Solutions

Expert Solution

Variable Overhead.

Variable overhead are those expenses, which can be avoided if decision is made to eliminate a product or service as it is directly related to the product or service


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