Which of the following costs, if expressed on a per unit basis, would be expected to vary inversely with the level of production and sales?
A)Sales commissions.
B)Fixed manufacturing overhead.
C)Variable manufacturing overhead.
D)Direct materials.

Question

Quizplus · Accepted Answer

Fixed manufacturing overhead costs, when expressed on a per unit basis, would vary inversely with the level of production and sales. This means that as production increases, the fixed cost allocated to each unit decreases, and vice versa.

Which of the Following Costs, If Expressed on a Per