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Matthew Corp. uses flexible budgeting. During this period there was a decrease in activity compared to the plan. This decrease is still within the relevant

Matthew Corp. uses flexible budgeting. During this period there was a decrease in activity compared to the plan. This decrease is still within the relevant range. Which of the following statements is accurate?

Multiple Choice

  • Total costs will remain the same.

  • Total costs will decrease.

  • Variable costs per unit will increase.

  • Variable costs per unit will decrease.

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