A manufacturing company producing DVD players observed a decrease in a particular cost item known as cost 101 Cost 101 computed on a per unit basis decreased by 10 in year 2 compared to year 1 All other things being equal, which of the following is probably true A Cost 101 is a variable cost, and the total volume of production of DVD players has increased in year 2 compared to year 1 B Cost 101 is a variable cost, and the total volume of production of DVD players has decreased in year 2 compared to year 1 C Cost 101 is a fixed cost, and the total volume of production of DVD players has increased in year 2 compared to year 1 D Cost 101 is a fixed cost, and the total volume of production of DVD players has decreased in year 2 compared to year 1 E Cost 101 is a variable cost, and the total volume of production of DVD players has not changed in year 2 compared to year 1

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Question: A manufacturing company producing DVD players observed a decrease in a particular cost item known as cost #101. Cost #101 computed on a per unit

A manufacturing company producing DVD players observed a decrease in a particular cost item known as cost #101. Cost #101 computed on a per unit basis decreased by 10% in year 2 compared to year 1. All other things being equal, which of the following is probably true?

	A.	Cost #101 is a variable cost, and the total volume of production of DVD players has increased in year 2 compared to year 1.
	B.	Cost #101 is a variable cost, and the total volume of production of DVD players has decreased in year 2 compared to year 1.
	C.	Cost #101 is a fixed cost, and the total volume of production of DVD players has increased in year 2 compared to year 1.
	D.	Cost #101 is a fixed cost, and the total volume of production of DVD players has decreased in year 2 compared to year 1.
	E.	Cost #101 is a variable cost, and the total volume of production of DVD players has not changed in year 2 compared to year 1.

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