ACCT 505 Week 7 DQ 2 (Updated)

ACCT 505 Week 7 DQ 2 (Updated)

To begin, download the Practice Final Exam from Doc Sharing to access questions and topics for review. For multiple choice questions, please explain why the answer chosen is correct and why the other choices would not be correct. Please support your response. Let’s begin with the questions on page 1.

3. An increase in the activity level within the relevant range results in
4. A)   an increase in fixed cost per unit.
5. B)   a proportionate increase in total fixed costs.
6. C)   an unchanged fixed cost per unit.
7. D)   a decrease in fixed cost per unit.

I BELIEVE THE ANSWER IS D….A DECREASE IN FIXED COST PER UNIT.