Last year, Flash Company sold 15,000 units of its only product. If sales decreased by 17% in the current year, how will total variable cost and total fixed cost be affected?

$$\begin{array} { l l }
\text { Total Variable Cost } & { \text { Total Fixed Cost } } \
\text { A)Remains constant } & \text { Remains constant } \
\text { B)Increases } & \text { Decreases } \
\text { C)Decreases } & \text { Remains constant } \
\text { D)Remains constant } & \text { Decreases } \
\text { E)Remains constant } & \text { Increases }
\end{array}$$

Question

Last year, Flash Company sold 15,000 units of its only product. If sales decreased by 17% in the current year, how will total variable cost and total fixed cost be affected?

$$\begin{array} { l l } 
\text { Total Variable Cost } &  { \text { Total Fixed Cost } } \
\text { A)Remains constant } & \text { Remains constant } \
\text { B)Increases } & \text { Decreases } \
\text { C)Decreases } & \text { Remains constant } \
\text { D)Remains constant } & \text { Decreases } \
\text { E)Remains constant } & \text { Increases }
\end{array}$$

Quizplus · Accepted Answer

The Answer of Last year, Flash Company sold 15,000 units of its only product. If sales decreased by 17% in the current year, how will total variable cost and total fixed cost be affected?

$$\begin{array} { l l } 
\text { Total Variable Cost } &  { \text { Total Fixed Cost } } \
\text { A)Remains constant } & \text { Remains constant } \
\text { B)Increases } & \text { Decreases } \
\text { C)Decreases } & \text { Remains constant } \
\text { D)Remains constant } & \text { Decreases } \
\text { E)Remains constant } & \text { Increases }
\end{array}$$

Last Year, Flash Company Sold 15,000 Units of Its Only