Which of the following costs will change when the level of business activity changes?
A)Total fixed costs
B)Variable cost per unit
C)A company's total costs
D)Sunk cost

Question

Quizplus · Accepted Answer

C) A company's total costs will change when the level of business activity changes because this includes both fixed and variable costs. Variable costs change with the level of production, affecting the total costs. Fixed costs remain constant in total, but variable costs per unit remain the same, influencing the total cost as activity levels change. Sunk costs are past costs that are not affected by current or future business decisions.

Which of the Following Costs Will Change When the Level