Reference no: EM132703392
Problem 1: Which of the following statements is true regarding fixed and variable costs?
a. Both costs are constant when considered on a total basis.
b. Variables costs are constant in total, and fixed costs are constant per unit.
c. Both costs are constant when considered on a per unit basis.
d. Fixed costs are constant in total, and variable costs are constant per unit.
Problem 2: Which of the following is a variable cost?
a. A cost that is P 26,000 when production is 65,000 and P 26,000 when production cost is 91,000.
b. A cost that is P 26,000 when production is 65,000 and P 36,400 when production is 91,000.
c. A cost that is P 26,000 when production is 65,000 and P 52,000 when production is 91,000.
d. A cost that is P 52,000 when production is 65,000 and P 52,000 when production is 91,000.
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