What happens when the cost-driver level increases within the relevant range?
A) Total fixed costs remain unchanged.
B) Fixed costs per unit of cost driver increase.
C) Total variable costs decrease.
D) Variable costs per unit of cost driver increase.

Question

Quizplus · Accepted Answer

Total fixed costs remain unchanged when the cost-driver level increases within the relevant range, as fixed costs do not vary with the level of production or activity.

What Happens When the Cost-Driver Level Increases Within the Relevant