Here are some costs that we've identified:

	at 5,000 units			at 10,000 units
	total cost	cost per unit		total cost	cost per unit
Cost A	$15,000	$3.00		$30,000	$3.00
Cost B	$15,000	$3.00		$15,000	$1.50

Which of these costs seem to be fixed costs and which seem to be variable costs?

		Both are fixed costs
		Both are variable
		Cost A is variable and Cost B is fixed.
		Cost A is fixed and Cost B is variable.