A cost that can be traced to a cost object is known as variable costs. The main reason for this is because the company knows how much it has spent on an item or service since it was purchased, and have a record of the price they paid. This means that when you divide the total cost by the number of items or services sold, you will know what each one will cost. That MeansThis . Paid They Price The Of Record A Have And,ased Purch Was It Since Service Or Item An Onent Sp Has It Much Howows Kn Company The Because Is This For Reason MainThe . Costs Variable As Known Is Object Cost A Toaced Tr Be Can That CostA . cost will one each what know will you, sold services or items of number the by cost total the divide you when that means This. paid they price the of record a have and, purchased was it since service or item an on spent has it much how knows company the because is this for reason main The. costs variable as known is object cost a to traced be can that cost A:Definition . cost will one each what know will you, sold services or items of number the by cost total the divide you when that means This. paid they price the of record a have and, purchased was it since service or item an on spent has it much how knows company the because is this for reason mainThe streams revenue any using before first occur must expenditures capital means which electronics or tools as such production for equipment new need might You. utilities or payroll like else anything before rent paying towards goes sales from generated income all so and operate to order in rent needs business your mean could also It. purchase after until cost will unit every much how know’t don and something purchased already have may you because happen can This. expenses fixed as known is object specific a to back traced be cannot that costA . be would profits their higher the then, example for100 $ costs that item an of sell they more the, it with associated cost some has sold item each Since. not or profit a making are they if determine to information this use will companyThe
