Relevant Costs in Short-Term Decision Making

Your friend is also in this same class. He says, The topic on relevant costs is easy..all you have to know is that variable costs are always relevant, and fixed costs are always irrelevant.

REQUIRED:

Is his statement about variable costs correct? (Answer Yes or No)

Is his statement about fixed costs correct? (Answer Yes or No)

Provide one example to support your answer concerning variable costs in #1

Provide one example to support your answer concerning fixed costs in #2.