Within the relevant range,the total amount of ________ cost changes in direct proportion to changes in the cost driver.Within the relevant range,the total amount of ________ cost does not change in direct proportion to changes in the cost driver.
A) fixed; variable
B) variable; fixed
C) step; mixed
D) mixed; step

Question

Quizplus · Accepted Answer

Within the relevant range, the total amount of variable cost changes in direct proportion to changes in the cost driver, meaning as the level of activity or volume increases, variable costs will increase at a constant rate per unit. Conversely, the total amount of fixed cost does not change in direct proportion to changes in the cost driver, meaning fixed costs remain constant regardless of changes in the level of activity or volume within the relevant range.

Within the Relevant Range,the Total Amount of ________ Cost Changes