Cost a Is a Fixed Cost, While B Is a Variable

question 96

Multiple Choice

Cost A is a fixed cost, while B is a variable cost. During the current year, the volume of output has decreased. In terms of cost per unit of output, we would expect that:

• A) cost A has remained unchanged.
• B) cost B has decreased.
• C) cost A has decreased.
• D) cost B has remained unchanged.

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Definitions:

Representation

The act of speaking or acting on behalf of someone or the depiction of something in art or literature.

Symbol

A symbol is a mark, sign, or word that indicates, signifies, or is understood as representing an idea, object, or relationship.

Ethnic Group

A community or population made up of people who share a common cultural background, heritage, language, or race.