It is more difficult to estimate fixed and variable cost per unit for a project during planning than once the project is underway.This is because,once a project is operational,the firm has access to clearly reported and separated actual costs that the project incurs.

Question

Quizplus · Accepted Answer

It is actually easier to estimate fixed and variable cost per unit during the planning phase when the project is not yet underway. Once the project is operational, there may be unexpected costs or variations that make it more challenging to estimate per unit costs accurately.

It Is More Difficult to Estimate Fixed and Variable Cost