Please explain why. When using a flexible budget, a decrease in activity within

Question

Please explain why. When using a flexible budget, a decrease in activity within the relevant range: Answer decreases variable cost per unit. decreases total costs. increases total fixed costs. increases variable cost per unit. Please explain why. When using a flexible budget, a decrease in activity within the relevant range: decreases variable cost per unit. decreases total costs. increases total fixed costs. increases variable cost per unit. decreases variable cost per unit. decreases total costs. increases total fixed costs. increases variable cost per unit.

Explanation / Answer

In flexible budget, VC per unit is independent from the volume activity which is question 1 and 3 relates to.

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