How do variable costs per unit behave?
A)They decrease as production increases.
B)They increase as production decreases.
C)They decrease as production decreases.
D)They remain the same throughout production levels within the relevant range.

Question

Quizplus · Accepted Answer

Variable costs per unit remain constant regardless of the level of production within the relevant range. This means that the cost per unit does not change as production levels increase or decrease, although the total variable costs will change in direct proportion to the production volume.

How Do Variable Costs Per Unit Behave