What is Cost Structure? - Definition, Types & Examples


Choose an answer and hit 'next'. You will receive your score and answers at the end.

question 1 of 3

How many major cost types do you have to consider when creating a cost structure?

Create Your Account To Take This Quiz

As a member, you'll also get unlimited access to over 79,000 lessons in math, English, science, history, and more. Plus, get practice tests, quizzes, and personalized coaching to help you succeed.

Try it risk-free
Try it risk-free for 30 days. Cancel anytime
Already registered? Log in here for access

1. Which of the following cost types is the one where the costs don't change?

2. Justin has just opened a t-shirt company. Why is it important for him to create a cost structure for his business?

Create your account to access this entire worksheet
A Premium account gives you access to all lesson, practice exams, quizzes & worksheets
Access to all video lessons
Quizzes, practice exams & worksheets
Certificate of Completion
Access to instructors
Create an account to get started Create Account

About This Quiz & Worksheet

This quiz and worksheet combo will test your knowledge of cost structure creation. You will be asked about related considerations when creating a cost structure and why cost structure is necessary.

Quiz & Worksheet Goals

Answer these questions to be sure you understand:

  • The type of cost that does not change
  • Examples of variable costs
  • The number of cost types to consider before making a cost structure

Skills Practiced

  • Reading comprehension - ensure that you draw the most important information from the material, such as the importance of creating a cost structure for a new business
  • Critical thinking - apply relevant concepts to examine information about cost structure creation in a different light
  • Information recall - access the knowledge you've gained regarding two cost types you have to keep in mind when creating a cost structure
  • Knowledge application - use your knowledge to answer questions about examples of fixed and variable costs

Additional Learning

Read the lesson titled What is Cost Structure? - Definition, Types & Examples to learn more about this type of accounting. You will explore topics like:

  • The benefits of running a cost analysis
  • Common types of expenses a business will have
  • Examples of effective cost structures