Miles Corporation Has a Fixed Utilities Cost A)1
B)2

question 12

Multiple Choice

Miles Corporation has a fixed utilities cost. If sales volume increases, how will the total fixed cost and the fixed cost per unit behave? $\begin{array} { | r | l | l | } \hline & \text { Total Fixed Cost } & \text { Fixed Cost Per Unit } \\\hline \mathbf { 1 } & \text { Increase } & \text { Increase } \\\hline \mathbf { 2 } & \text { Increase } & \text { Remain Constant } \\\hline \mathbf { 3 } & \text { Increase } & \text { Decrease } \\\hline \mathbf { 4 } & \text { Remain Constant } & \text { Decrease } \\\hline \mathbf { 5 } & \text { Decrease } & \text { Increase } \\\hline\end{array}$

• A)1.
• B)2.
• C)3.
• D)4.
• E)5.