Question: InnovateTech Inc. is evaluating the cost behavior of three types of costs across three months. Month Units Produced Total Cost D Cost per Unit D

InnovateTech Inc. is evaluating the cost behavior of three types of costs across three months.

MonthUnits ProducedTotal Cost DCost per Unit DTotal Cost ECost per Unit ETotal Cost FCost per Unit F
11,800$3,600$4,800$7,200
23,600$3,600$6,400$14,400
3900$3,600$3,200$3,600

Required: a. Calculate the cost per unit for each type of cost and classify them as fixed, variable, or mixed. Explain your classifications.
b. Discuss the impact of cost behavior understanding on strategic planning and decision-making.

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