Variable costs are described by which of the following statements?
A)They vary per unit of output.
B)They are fixed in total.
C)They are fixed per unit and vary in total.
D)They decrease per unit as production volume increases.

Question

Quizplus · Accepted Answer

Variable costs are fixed per unit and vary in total, meaning they stay the same for each unit produced but the total cost increases as more units are produced.

Variable Costs Are Described by Which of the Following Statements