A 10 percent increase in sales volume will result in a
A)10 percent decrease in total variable cost.
B)10 percent decrease in unit variable cost.
C)10 percent increase in total variable cost.
D)10 percent increase in unit variable cost.

Question

Quizplus · Accepted Answer

Total variable cost varies directly with sales volume, so a 10 percent increase in sales volume will result in a 10 percent increase in total variable cost.

A 10 Percent Increase in Sales Volume Will Result in a