34. Data for Cost A and Cost B are as follows:
Cost A
# of Units Produced
1
10
100
Cost B
# of Units
1
10
100
Which of the following best describes the behavior of Costs A and B?
a. Cost A is fixed, Cost B is variable.
b. Cost A is variable, Cost B is fixed.
c. Both Cost A and Cost B are variable.
d. Both Cost A and Cost B are fixed.
ANS: B
Cost A is variable, Cost B is fixed.