Fixed versus variable cost behavior Lovvern Trophies makes and sells trophies it distributes to little league ballplayers. The company normally produces and sells between 8,000 and 14,000 trophies per year. The following cost data apply to various activity levels. Number of Trophies 8,000 10,000 12,000 14,000 Total costs incurred Fixed $ 42,000 Variable 42,000 Total costs $ 84,000 Cost per unit Fixed $ 5.25 Variable 5.25 Total cost per trophy $ 10.50