Answered: Which of the following describes the…

Business

Accounting

Which of the following describes the behavior of the fixed cost per unit?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 14MC: When fixed costs increase and all other variables remain unchanged, the contribution margin will A....

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Question

Which of the following describes the behavior of the fixed cost per unit?

a.remains constant with changes in production

b.decreases with decreasing production

c.decreases with increasing production

d.increases with increasing production

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