Fixed costs are inversely proportional to volume. As volume decreases, fixed costs increase, and as volume increases,
Question:
“Fixed costs are inversely proportional to volume. As volume decreases, fixed costs increase, and as volume increases, fixed costs decrease.” Do you agree with this statement? Explain why, or why not.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Fixed costs in total do not vary with volume within ...View the full answer
Answered By
Parmanand Khajuriya
I have been working with Investment Banking for the last two years.
Currently working with Morgan Stanley as Quant Analyst; I Previously worked with Credit Suisse.
Certified FRM and CFA level 2 candidate.
I graduated from India's top Engineering Institute IIT Bombay with a Dual degree in Electrical Engineering.
I have a strong understanding of Quantitative Finance, Risk Analytics, Machine Learning, Optimization, Applied Mathematics, Modelling, and Financial Market.
I have been teaching Python, R, and Matlab for computing purposes.
Teaching is one of my passion and it gives me satisfaction and pleasure to teach someone new concept, you get to learn a lot of things as you teach and in the process, your own understanding of concepts becomes stronger.
When I was in my 4th year I taught second-year students in Mathematics, and during my 3rd year, I tutored 100 second-year undergrad students on Differential Equation Topic. I believe to have a strong base in Mathematics and Probability. Hope to connect with as many students here as possible and contribute to my best:)
0 Reviews
10+ Question Solved
Related Book For 
Introduction to Managerial Accounting
ISBN: 978-1259105708
5th Canadian edition
Authors: Peter C. Brewer, Ray H. Garrison, Eric Noreen, Suresh Kalagnanam, Ganesh Vaidyanathan
Question Posted:
