Type of relationship stating "how changes in cost driver drives cause changes in cost" will be termed as
A
marginal plausibility
B
economic plausibility
C
financial plausibility
D
market plausibility
Correct Answer: economic plausibility
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.