If at a Given Volume Total Costs and Fixed Costs

question 6

Multiple Choice

If at a given volume total costs and fixed costs are known, the variable costs per unit may be computed as follows:

• A) (Total costs - Fixed costs)/Unit volume
• B) (Total costs/Unit volume) - Fixed costs
• C) (Total costs × Unit volume) - (Fixed costs/Unit volume)
• D) Total costs - (Fixed costs/Unit volume)