Question
he variable cost per unit and the total fixed cost are not affected by changes in production.
True
False
True
False
Answers
GPT-4o mini
True.
The variable cost per unit can fluctuate with changes in production levels, but the total variable costs will differ based on the number of units produced. However, the total fixed cost remains constant regardless of the production level, meaning it does not change with the number of units produced. Thus, the statement is accurate in saying that the total fixed cost is not affected by changes in production.
The variable cost per unit can fluctuate with changes in production levels, but the total variable costs will differ based on the number of units produced. However, the total fixed cost remains constant regardless of the production level, meaning it does not change with the number of units produced. Thus, the statement is accurate in saying that the total fixed cost is not affected by changes in production.