During the current year,Dubois,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. It is not possible to determine the change in variable costs based solely on the change in the number of units produced. The variable cost per unit may not remain constant, and additional information is needed to make this determination.

During the Current Year,Dubois,Inc