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Chapter 18 Question.docx (95.5 KB) Discussion Question 1) Observe the following costs below. Delivery costs Month Amount September $40,000 Units Produced 40,000 October 55,000
Chapter 18 Question.docx (95.5 KB) Discussion Question 1) Observe the following costs below. Delivery costs Month Amount September $40,000 Units Produced 40,000 October 55,000 60,000 Utilities September $ 84,000 40,000 October 126,000 60,000 Which type of costs are these? a. Delivery costs and utilities are both variable. b. Delivery costs and utilities are both mixed. c. Utilities are mixed and delivery costs are variable. d. Delivery costs are mixed and utilities are variable. 2) Wal-Mart increases sales, what will be the impact on unit variable cost and unit fixed cost? Unit Variable Cost a. Increases b. Remains constant c. Decreases d. Remains constant Unit Fixed Cost Decreases Remains constant Remains constant Decreases
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