The Variable Cost Per Unit ____________ as the Number of Sales

question 1

Multiple Choice

The variable cost per unit ____________ as the number of sales increase.

• A) decreases
• B) changes
• C) remains constant
• D) increases

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Definitions:

Price Elastic

Describes a situation where the demand for a product changes significantly in response to a change in the product's price.

Price Inelastic

A situation where the demand for a product does not change significantly in response to price changes.

Price Volatile

Characterizes a market or commodity whose price is subject to rapid, unexpected, and often large changes.

Demand Curve

A graphical representation showing the relationship between the price of a good or service and the quantity demanded for a given period.