Ginnie's, a Candy Manufacturing Company, Sees a Sudden Rise in the Consumption

Multiple Choice

Ginnie's, a candy manufacturing company, sees a sudden rise in the consumption of its kiwi-flavored candies. Thus, the company hires more labor and buys additional supplies to increase the production of these candies. In this scenario, the costs incurred by the company for purchasing these supplies and hiring more labor exemplify the company's _____.

A) variable costs
B) implicit costs
C) indirect costs
D) fixed costs