Question 12.5 pts

Chapter 5 Cost Behavior:

Total variable costs increase as the level of activity increases.

Group of answer choices

True

False

Flag question: Question 2Question 22.5 pts

Variable costs are costs that remain constant in total dollar amount as the level of activity changes.

Group of answer choices

True

False

Flag question: Question 3Question 32.5 pts

If a company is operating at a loss,

Group of answer choices

fixed costs are greater than sales

selling price is lower than variable cost per unit

selling price is less than total cost per unit

fixed cost per unit is greater than variable cost per unit

Flag question: Question 4Question 42.5 pts

Over the relevant range, total revenues and total costs

Group of answer choices

increase, but at a decreasing rate

decrease

remain constant

are graphed as straight lines

none of the above

Flag question: Question 5Question 52.5 pts

Which of the following classifies as a variable cost?

Group of answer choices

Straight-line depreciation on the production equipment

The salary of the production supervisor

Fabric for use in the quilts to be produced

Lease payments of $220.00 per month plus $.002 per copy