What is characteristic of variable costs within the relevant range?
A)stay constant on a per unit basis as output changes
B)decrease in total as output increases
C)decrease in per unit as output increases
D)stay constant in total as output increases

Question

Quizplus · Accepted Answer

Variable costs stay constant on a per unit basis as output changes, meaning the cost per unit does not change even though the total variable cost will change in direct proportion to changes in the volume of production/output.

What Is Characteristic of Variable Costs Within the Relevant Range