Which Statement Best Describes How Fixed and Variable Costs Behave

question 115

Multiple Choice

Which statement best describes how fixed and variable costs behave per unit and in total?

• A)Both costs are constant when considered on a per-unit basis.
• B)Both costs are constant when considered on a total basis.
• C)Fixed costs are constant in total and variable costs are constant per unit.
• D)Variable costs are constant in total and fixed costs are constant per unit.

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Definitions:

Self-Esteem

An individual's overall subjective emotional evaluation of their own worth.

Concrete

Refers to the stage of cognitive development in which children gain the ability to think logically about physical objects and events in their immediate environment.

Abstract

Referring to concepts or ideas that are not concrete or tangible, but rather, intangible and thought-based.

Evaluation

The systematic process of determining the merit, value, and significance of something, typically for the purposes of decision-making or understanding.