Question

Which of the following statements is true?
a. Both variable and fixed cost change with the change in the level of production
b. Variable cost per unit and fixed cost per unit remain constant through the levels of
production
c. Total variable cost and total fixed cost does not change with change in the level of
production
d. Variable cost per unit remains constant and fixed cost per unit decreases with the increase
in level of production.

Answer 1

Answer:

d. Variable cost per unit remains constant and fixed cost per unit decreases with the increase

in level of production.