Q393
Type of relationship stating "how changes in cost driver drives cause changes in cost" will be termed as
A.
marginal plausibility
B.
economic plausibility
AnswerC.
financial plausibility
D.
market plausibility
Answer: Option B
Solution
Answer: Option B
Solution:
Type of relationship stating "how changes in cost driver drives cause changes in cost" will be termed as economic plausibility. There is a positive relationship between the number of service reports (a cost driver) and the customer- service department costs.