During the current year,Simpson,Inc.incurred $9,000 in fixed costs and $13,000 in variable costs.If the number of units produced is halved next year,the company will incur $4,500 as fixed costs and $6,500 as variable costs.

Question

Quizplus · Accepted Answer

The statement is false. The given information only provides the fixed and variable costs for the current year and the hypothetical costs for next year if the number of units produced is halved. It does not provide any information about the costs for next year if the number of units produced remains the same. Therefore, it is impossible to determine if the statement is true or false.

During the Current Year,Simpson,Inc