Worldatwork Exam c8 Topic 2 Question 49 Discussion

Actual exam question for Worldatwork's c8 exam

Question #: 49
Topic #: 2

[All c8 Questions]

Regarding fixed and variable costs, what are Finance's primary concerns?

AFixed costs must be kept to a minimum, but variable costs can fluctuate since they tend to correlate with revenue.

BVariable costs often have a heavier focus than fixed costs, which applies to all areas, including compensation.

CFixed costs and variable costs are equally important and both should be kept to a minimum.

DFixed costs are not a concern because they cannot be changed, so the focus is primarily on variable costs.

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Suggested Answer: C

by Pete at Mar 22, 2023, 01:27 AM

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3 days ago

I agree with Vesta. Fixed costs can be more difficult to adjust, so it makes sense to focus on minimizing them.

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4 days ago

I think Finance's primary concern is to keep fixed costs to a minimum.

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