Variable overheads

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August 14, 2020 at 8:39 am #580498
AverageAndy
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Sir do variable overheads always relate to use of machinery? Or at least assumed to be the case for the sake of PM exam?
August 14, 2020 at 10:24 am #580520
John Moffat
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No. They can relate to (for example) selling expenses.

It all depends on the question and the wording of the question. Most times they will relate to the cost of production but, again, it depends on the question.
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