Which of these statements is true regarding fixed and variable costs? 1. Fixed costs stay the same

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Which of these statements is true regarding fixed and variable costs?

1. Fixed costs stay the same and variable costs increase in total as activity volume increases.

2. Both fixed and variable costs increase as activity volume increases.

3. Both fixed and variable costs stay the same in total as activity volume increases.

4. Fixed costs increase and variable costs decrease in total as activity volume decreases.

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Related Book For  book-img-for-question

Fundamental Accounting Principles Volume 2

ISBN: 9780077716660

21st Edition

Authors: John Wild, Ken Shaw, Barbara Chiappetta

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