Since a Mixed Cost Has Both a Fixed and a Variable

question 167

Multiple Choice

Since a mixed cost has both a fixed and a variable component,

• A)neither total cost nor unit cost will vary with changes in the level of activity.
• B)total cost will vary with changes in the level of activity, but unit cost will not.
• C)unit cost will vary with changes in the level of activity, but total cost will not.
• D)both the total cost and the unit cost will vary with changes in the level of activity.