Which of the Following Statements Is True

question 32

Multiple Choice

Which of the following statements is true?

• A)Fixed costs are constant on a per unit basis.
• B)Variable costs per unit decrease as activity volume increases.
• C)Variable costs are constant in total dollars.
• D)Fixed costs are constant in total dollars.

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Definitions:

Rectangle

A quadrilateral with four right angles and two pairs of parallel and equal sides.

Deck

In construction, a flat surface capable of supporting weight, similar to a floor, but typically constructed outdoors and often connected to a building.

Origination Fee

This fee is money paid to the lending institution for the paperwork involved in the loan application process.

Prepaid Interest

Interest payments made in advance of their due date, typically associated with the initial costs of obtaining a mortgage.