How does planning of fixed overhead costs differ from planning of variable overhead costs?

A. At the start of an accounting period, a large percentage of fixed overhead costs are locked-in, whereas ongoing operating decisions determine the variable overhead costs. When planning fixed overhead costs, a company must choose the appropriate level of capacity or investment that will benefit the company over a long time.

B. At the end of the accounting period, fixed overhead costs are determined and then applied to the period, whereas ongoing operating decisions determine the variable overhead costs at the beginning of the accounting period. When planning variable overhead costs, a company must choose the appropriate leve of capacity or investment that will benefit the company.

C. At the start of an accounting period, a large percentage of variable overhead costs are locked-in, whereas ongoing operating decisions determine the fixed overhead costs. When planning fixed overhead costs, a company must choose the appropriate level of capacity or investment that will benefit the company over a long time.

D. At the end of an accounting period, a large percentage of variable overhead costs are locked-in, whereas ongoing operating decisions determine the fixed overhead costs. When planning variable overhead costs, a company must choose the appropriate level of capacity or investment that will benefit the company over a long time.