Advertisements
Advertisements
Questions
Give an example of opportunity cost.
Explain opportunity cost with the help of an example.
Solution
A firm can buy either a laptop or a motorcycle for ₹ 40,000. The firm buys a laptop. The earning or benefit that the motorcycle could provide is the opportunity cost of buying the laptop.
APPEARS IN
RELATED QUESTIONS
Write a short note on Direct costs.
Describe cost on the basis of behaviour.
Overheads are often related to accounting concepts such as fixed cost and ______ cost.
Total variable cost per unit increases ______.
The cost remains same at all levels of output is called ______ cost.
Which of the following cost is time based?
It refers to the expenses incurred on those items which are not directly chargeable to production. Salaries of timekeeper, foremen and watchmen are examples of this cost. This cost is incurred for the concern as a whole rather than a particular product.
Wages paid to a labour who was engaged in the production activities can be termed as ______.
Which of the following best describes a fixed cost?
Fixed cost is a cost which remains same at ______.
What is meant by sunk cost?
Distinguish between controllable and uncontrollable costs.
Distinguish between direct costs and indirect costs.
Distinguish between Direct Labour cost and Indirect Labour cost.
The term "variable costs" refers to ______.
"Some costs are semi-variable in nature." Comment.
What is meant by variable cost?
Give an example of Semi-Fixed cost.
