Which of the following is true if the production volume decreases? A. average cost per unit decreases B. fixed cost per unit increases C. variable cost per unit decreases D. variable cost per unit increases

B. fixed cost per unit increases

Explanation:

As we know that

If the production volume increases, the fixed cost per unit is decreases as it reflect an inverse relationship between the fixed cost per unit and the production volume

Let us take an example

Fixed cost = $20,000

Production volume = 100,000

Decrease in production volume = 80,000

So, the fixed cost per unit in the first case is

= 20,000 ÷ $100,000

= $0.2

And, the fixed cost per unit in the second case is

= 20,000 ÷ $80,000

= $0.25

Therefore, the fixed cost per unit increases

all of them make sense but, i would have to say ask someone who has been there/or lives there, and/or read recent newspapers from that city.

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1) the stages a new product goes through from beginning to end, i.e., the stages that a product passes through from introduction through growth, maturity, and decline. 2) the time from initial research and development to the time at which sales and support of the product to customers are withdrawn. 3) the period of time during which a product can be produced and marketed profitably.

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