Hello everyone, I'm a student and now I am doing problems on Managerial Accounting. In my textbook there's one problem that shows "Administrative Office Supplies (Billing)" that I dont understand what it really is. Is that Administrative Expense or Selling Expense (because of billing). The answer key says it is variable expense and doesn't mention whether it's administrative or selling cost.
Could you please help me clarify this kind of expense? and Why is it variable? Personally I think it's fixed expenses.
Thank you very much!
Here I attach the answer key photo.
Could you please help me clarify this kind of expense? and Why is it variable? Personally I think it's fixed expenses.
Thank you very much!
Here I attach the answer key photo.