Start learning →

As output rises, the total variable cost rises. What happens to the variable cost per unit?

AIt stays flat
BIt halves out
CIt doubles up
DIt disappears
Answer & Solution
Correct answer: A. It stays flat
1. Per-unit cost is the point. 2. Each shirt costs the same to make. 3. It stays flat. _Source: OpenStax Principles of Managerial Accounting, Chapter 2, Building Blocks of Managerial Accounting._
Practise this question with Quill — CMA (IMA) →

Keep practising Cost Classification

Browse all Cost Classification questions for CMA (IMA), or explore more Accounting topics.

Start a Cost Classification lesson →
Related questions