A cost driver:
has a direct cause-effect relationship to a cost.
causes fixed costs to rise because of production changes.
can predict the cost behavior of a variable, but not a fixed, cost.
is an overhead cost that causes distribution costs to change in distinct increments with changes in production volume.
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
(Save $1 )
One time Pay
(Save $5 )
Billed Monthly
*First month only
You can see the logs in the Dashboard.
