In the graph below,which depicts the relationship between units produced and total cost,the dotted line depicts which type of total cost?
A) Variable cost
B) Fixed cost
C) Mixed cost
D) None of these

Question

In the graph below,which depicts the relationship between units produced and total cost,the dotted line depicts which type of total cost? 
A) Variable cost 
B) Fixed cost 
C) Mixed cost 
D) None of these

Quizplus · Accepted Answer

Since the total cost line is horizontal,the total cost is constant as the volume changes.As such,this depicts a fixed cost.

In the Graph Below,which Depicts the Relationship Between Units Produced