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What are Semi–Variable Expenses?

14. What are Semi–Variable Expenses?

  1. That does not fluctuate with changes in production level.
  2. Costs that change over time.
  3. Expense contains both a fixed-cost component and a variable cost component.
  4. Expenses that occur at various times throughout the year.

Answer: C) Expense contains both a fixed-cost component and a variable cost component

Explanation:

A semi-variable expense, otherwise called a semi-fixed expense or a blended expense, is an expense made out of a combination of both fixed and variable parts. Costs are fixed for a set degree of creation or utilization and become variable after this creation level is surpassed. If no creation happens, a decent expense is frequently still brought about.

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