How Do Fixed Costs Per Unit Behave

question 118

Multiple Choice

How do fixed costs per unit behave?

• A)They remain the same throughout production levels within the relevant range.
• B)They decrease as production decreases.
• C)They increase as production decreases.
• D)They increase as production increases.

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Definitions:

Cross-Cutting Relations

A geological principle stating that any geologic feature that cuts across another feature must be younger than the feature it cuts.

Inclusions

Pieces of one rock unit that are enclosed within another rock unit, often used in geology to determine the relative age of rock layers.

Original Horizontality

A principle stating that sedimentary rocks are deposited in horizontal or nearly horizontal layers under the action of gravity.

Superposition

A principle that states in an undisturbed sequence of rocks, layers of rock were deposited in order from bottom to top according to their age, with the oldest at the bottom and the youngest at the top.