A Company Has Fixed Costs of $60,000 Per Month

question 96

Multiple Choice

A company has fixed costs of $60,000 per month. If sales double from 6,000 to 12,000 units during the month, fixed costs in total will

• A)double.
• B)remain the same.
• C)be cut in half.
• D)be none of the above.

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Definitions:

Cohesiveness

The degree to which members of a group or team are attracted to each other and motivated to stay together.

Group Identification

The extent to which individuals see themselves as part of a group and feel connected to its members.

Group Performance

The level of achievement or output produced by a team as a result of their collective effort and collaboration.

Knowledge and Skills

The theoretical understanding (knowledge) and practical abilities (skills) acquired through experience or education.