Fixed Costs Per Unit Remain Constant with Levels of Production

question 98

True/False

Fixed costs per unit remain constant with levels of production.

---

Definitions:

Unit Selling Price

The price at which an individual unit of a product is sold to customers.

Unit Variable Costs

These are the costs that change directly with the level of production or service activity, such as materials and labor.

Break-even Sales

The amount of revenue required to cover total fixed and variable costs, resulting in neither profit nor loss.

Unit Selling Price

The price at which a single unit of a product is offered for sale to customers.