Onini Incorporated produces one product with two production levels: 20,000 units and 80,000 units. At each production level, Onini's per-unit costs for Costs A, B, and C are:
Cost A (per unit) = $12.00 (Production = 20,000), $12.00 (Production = 80,000)
Cost B (per unit) = $15.00 (Production = 20,000), $11.25 (Production = 80,000)
Cost C (per unit) = $20.00 (Production = 20,000), $5.00 (Production = 80,000)
What type of cost is each?
Multiple Choice
Cost A is fixed, Cost B is mixed, and Cost C is variable.