Question: Data for Cost A and Cost B appear below: Units Produced Cost Per Unit Total Cost Cost A 1 ? $ 1 0 1 0

Data for Cost A and Cost B appear below:
Units Produced Cost Per Unit Total Cost
Cost A
1? $10
10? $100
100? $1,000
1,000? $10,000
Cost B
1 $5,000?
10 $500?
100 $50?
1,000 $5?
Which of the above best describes the behavior of Costs A and B?
Multiple Choice
Cost A is fixed, Cost B is variable.
Cost A is variable, Cost B is fixed.
Both Cost A and Cost B are variable.
Both Cost A and Cost B are fixed.

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