Within the Relevant Range, the Fixed Cost Per Unit

question 139

Multiple Choice

Within the relevant range, the fixed cost per unit:

• A) Increases as activity level increases
• B) Remains constant as activity level increases
• C) Decreases as activity level increases
• D) Decreases as activity level decreases

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Definitions:

Qualified People

Qualified people are individuals who possess the necessary skills, knowledge, and credentials to perform a specific task or role effectively.

Own Business

The ownership and management of a commercial enterprise by an individual or group.

Approximately 50 People

An estimation suggesting that the number of individuals involved or in question is around fifty.

Human Resource Management

The strategic approach to the effective management of people in an organization, focusing on enhancing their contributions to the success of the organization.