17. "Within the relevant range, if there is a change in the level of the cost driver, then:"     fixed costs per unit will change and variable costs per unit will remain the same     fixed costs per unit will remain the same and variable costs per unit will change     fixed and variable costs per unit will remain the same     fixed and variable costs per unit will change

Q: Assume that a straight line on a CVP chart intersects the vertical axis at the level of fixed costs…

A: CVP Chart:   Cost Volume Chart (CVP) chart refers to a graphical representation of the cost-volume…

Q: Which one of the following statement best describe the unit variable cost: Select one: O a. Remains…

A: The Question has covered the concept of Variable Cost. The cost which is increases with level output…

Q: 14 Within the relevant range of activity, how will variable cost per unit behave? Select one: a.…

A: The correct answer is d. It will remain constant.Explanation:Variable Costs are costs that change in…

Q: 22. At the break-even point, fixed cost is aiways a. Equal to the contribution margin h. More than…

A: The Break-even point is the level of operation at which the company is in a no-profit / no loss…

Q: Ch. 5 Fixed Costs/Per Unit Pleaes explain the following concept/rule and give an example:  Why do…

A: Fixed cost is a cost which is constant in the short run, it is not related to any change in the…

Q: If the ordering cost triples in an EOQ model, while the remaining values stay constant, how will the…

A: Economic Order Quantity is a model which aims to minimize the total inventory cost including the…

Q: Which of the following statements is true about fixed and variable costs? * Both costs are constant…

A: Solution:- When sales units are increases or decreases the total sales also increase or decreases…

Q: Which of the following statements is correct: A. total fixed cost remain constant while variable…

A: Fixed Costs: Total Fixed cost remains constant at all the level of activities. Fixed cost per unit…

Q: Within the relevant range, if there is a change in the level of the cost driver then     a. fixed…

A: Introduction: Fixed costs: Fixed costs remains fixed in nature. It won't varies according to the…

Q: Within the relevant range of activity fixed costs remain constant in total costs and activity can be…

A: A certain activity level that is limited by a minimum and maximum quantity is referred to as the…

Q: “Variable costs are always relevant, and fixed costs are always irrelevant.” Do you agree? Why?

A: A relevant cost refers to the cost amount which is related to a particular decision. Relevant cost…

Q: 17. What are costs that remain the same in total dollar amount as the activity base changes?

A: The costs that remain same in total dollar amount is  Both cost per unit and activity base are…

Q: 21. If variable selling and administrative costs increased, how would the gross margin and…

A: Variable selling and administrative costs are those selling and admin costs which will be changed…

Q: Show the effects oncontribution margin of changesin variable costs, fixed costs,selling price, and…

A: Cost-Volume-Profit (CVP) Analysis: It is a method followed to analyze the relationship between the…

Q: Within the relevant range, variable costs can be expected to: Ovary in total in direct proportion to…

A: The question is based on the concept of Cost Accounting. Variable cost is the cost that remains same…

Q: What happens to average fixed cost as more products are made? a. Remains the same b. Increases c.…

A: Total fixed cost remains same at all level of output.

Q: Describe the behavior of fixed and variable costs as activity levels change. Use graphs to…

A: Answer:-  Fixed cost meaning:- Fixed costs are expenses that remain constant regardless of whether…

Q: What do you mean when you say "fixed costs"? What's the point? Is it possible to have a combined…

A: Introduction: Costs are the costs that a company incurs when it is in operation. It includes the…

Q: Variable costs per unit are affected by an increase or decrease in activity. True or False True…

A: Variable Cost is that type of cost which is associated with the number of units produced or volume…

Q: Within the relevant range: a.        both total variable costs and total fixed costs will remain…

A: The costs incurred into the production are classified as fixed and variable costs. The variable…

Q: a Total fed costs and total variable costs will change b. Total fxed costs and total variable costs…

A: Cost Driver - is the factor of cost due to change in cost driver cost of the activities also get…

Q: Which of the following statements about CVP analysis is true? O a. Unit selling price, unit variable…

A: Cost volume profit analysis is the methods to identify the impact on operating income due to the…

Q: The contribution margin per unit will increase.

A: Fixed costs are costs or expenses in the economics and business sectors that do not alter with…

Q: In economics, a fixed cost is a cost that O does not vary with the level of output. O goes down as…

A: The cost can be classified into two categories i.e fixed cost and variable cost. The  FIxed cost…

Q: Which of the following is correct concerning reactions to INCREASES in activity? Variable Cost Per…

A: Expenses that change in direct proportion to the volume of output or activity in a business are…

Q: Which one of the following statements is false?

A: Variable Cost: This cost varies with the change in the volume of activity. This cost is directly…

Q: Which one of the following statements about fixed costs is correct? -The average fixed cost per…

A: Fixed cost is the cost that remains constant irrespective of the level of production. A company…

Q: Direct material C   4 kg @ sh. 80 Direct material D   6 kg @ sh. 40 Actual data: Direct material…

A: Material mix variance arises when actual material is not in the ratio of standard quantity mix.…

Q: While the total amount of fixed cost changes with the level of production, fixed cost per unit…

A: The costs incurred for the production are classified as fixed and variable costs. The high-low…

Q: 16 Which costs will change with a decrease in activity within the relevant range? Select one: a.…

A: The correct answer is a. Unit fixed cost and total variable costs.Explanation:Understanding how…

Q: Why is fixed costs changing?

A: In the given problem some estimates related to selling price and cost to be incurred are given and…

Q: Which of the following statements about CVP analysis is true? O a. Operating income calculations in…

A: Selling price:  Selling price is a price set by the supplier at which he is ready to sell his…

Q: QUESTION 1 Which of the following statements describes the behaviour of variable costs? O a. They…

A: Option a is correct.

Q: Variable costs are costs that: Select one: a. Neither of the above b. vary in total directly and…

A: Variable costs is one of the one of the component of the total cost. Variable cost is the cost which…

Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.