Economics · Cost Accounting and Budgetary Control
Which of the following best describes a controllable cost?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1A specific cost of an activity that would be avoided if the activity did not exist.
- 2A cost that can be influenced by its budget holder.✓
- 3A cost whose behavior pattern can be easily analyzed to facilitate valid budgetary control comparisons.
- 4A cost arising from a decision already taken, which cannot be changed in the short run.
Correct answer
A cost that can be influenced by its budget holder.
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