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Cost A Number of Units Produced Unit Cost Total Cost 1 ? $10 10 ? $100 100 ? $1,000 1,000 ? $10,000 Cost B 1
Cost A | Number of Units Produced | Unit Cost | Total Cost |
1 | ? | $10 | |
10 | ? | $100 | |
100 | ? | $1,000 | |
1,000 | ? | $10,000 | |
Cost B | |||
1 | $5,000 | ? | |
10 | $500 | ? | |
100 | $50 | ? | |
1,000 | $5 | ? |
Which of the above best describes the behavior of Costs A and B?
A) Cost A is fixed, Cost B is variable.
B) Cost A is variable, Cost B is fixed.
C) Both Cost A and Cost B are variable.
D) Both Cost A and Cost B are fixed.
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