Say a companys total costs are$2,500,000 when100,000 units are made. Of the totalcost,$400,000is fixed. Assume all volumes referenced in the question fall within the relevant range.

What are the expected total costs when 160,000units aremade?

A.$2,500,000B.$4,400,000C.$3,360,000D.$4,000,000E.3,760,000

If volumedecreases, what happens to the variable cost perunit?A.The variable cost per unit does not change.B.The variable cost per unit decreases.C.The variable cost per unit increases.

If volume increases, what happens to the total variable costs?

A.Total variable costs decrease.B.Total variable costs do not change.C.Total variable costs increase.

If volume decreases, what happens to the fixed cost per unit?

A.The fixed cost per unit does not change.B.The fixed cost per unit increases.C.The fixed cost per unit decreases.

If volume increases, what happens to the total fixed costs?

A.Total fixed costs increase.B.Total fixed costs do not change.C.Total fixed costs decrease.