As the level of activity increases, how will a mixed cost behave? a. Increase in total but would decrease per unit b. Increase in total and per unit c. Increase per unit but would increase in total d. None of these e. Decrease in total and per unit
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- As the level of activity increases, how will a mixed cost behave?
a. Increase in total but would decrease per unit
b. Increase in total and per unit
c. Increase per unit but would increase in total
d. None of these
e. Decrease in total and per unit
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- As the level of activity increases, how will a mixed cost in total and per unit behave? A) B) (C) D) E) In Total Increase Increase Increase Decrease Decrease Multiple Choice Choice A Choice B Choice C Choice D Per Unit Decrease Increase No effect Increase No effectShow how each of these costs will behave as the volume of activity decreases. Variable cost per unit Total variable cost Fixed cost per unit Total fixed cost A. Increase B. Decrease C. Remains the sameWhat is characteristic of variable costs within the relevant range? A. Decrease in total as as output increases B. Stay constant in total as output increases C. Decrease on a per-unit basis as output increases D. Stay constant on a per-unit basis as output changes
- In the fixed cost per unit does the it increase as activity decreases and will decrease as activity increases?When the level of activity decreases, variable cost will increase or decrease ?Harof activity increases, total variable costs a. decrease. b. remain the same. c. Increases in direct proportion to the increase in activity d. increases, but at a slower rate than the level of activity.
- In describing the cost formula equation Y = a + bX, which of the following statements is NOT correct? (A As "X" increases "Y" increases. (B) "X" is the level of activity. In the high-low method, "b" equals change in activity divided by change in costs. "a" is the fixed component.On a cost-volume-profit graph, when the Total Cost line is higher than the Total Revenue line, the difference represents Select one: O A. a positive return on the investment O B. a net loss O C. net income O D. not enough information is presentedWhen the total fixed costs decrease, the contribution margin per unit ________. A. increases B. decreases C. decreases proportionately D. remains the same
- Variable costs are costs that: A.vary inversely proportional with changes in activity B.Remain constant as activity changes C.Decrease on a per unit basis as activity increases D.Remain constant on a per unit basis as activity changesWhen the level of activity increases, total fixed costs a. decrease. b. remain the same. c. increase. d. change, but the direction depends on the specific situation.Within the relevant range, as volume of activity increases a. Total fixed costs remain the sameb. Fixed cost per unit decreasesc. Variable cost per unit remains the samed.Total variable costs increasese. all of the above