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A hospital system is building a new wing for an additional 120 beds for medical-surgical patients. This is a situation in which fixed costs: A)

A hospital system is building a new wing for an additional 120 beds for medical-surgical patients. This is a situation in which fixed costs:

A) Have exceeded the relevant range and the organization must now incur new fixed costs,

B) Remain constant as fixed costs do not change for an organization,

C) Decrease because of additional patient volume to contribute to covering fixed costs,

D) Will vary depending on the patient volume in the new wing

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