Question

Last year, Flash Company sold 15,000 units of its only product. If sales decreased by 17% in the current year, how will total variable cost and total fixed cost be affected?
Total Variable Cost Total Fixed Cost
A) Remains constant Remains constant
B) Increases Decreases
C) Decreases Remains constant
D) Remains constant Decreases
E) Remains constant Increases
A.Choice A
B.Choice B
C.Choice C
D.Choice D
E.Choice E

Answer

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