The relevant range is a relatively
A) wide span of production where total fixed costs are expected to remain the same
B) wide range of sales where total variable costs remain the same
C) wide range of sales where all costs remain the same
D) narrow range of production where total variable costs remain the same

Question

Quizplus · Accepted Answer

The relevant range is the range of production or sales where the company expects the total fixed costs to remain the same. This means that the fixed costs will not increase or decrease within this range, while variable costs may still change as production levels change. Therefore, the relevant range is a relatively wide span of production where total fixed costs are expected to remain the same.

The Relevant Range Is a Relatively