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Fixed cost per unit with volume increasing is : 1- fixed . 2- variable 3- semi-variable

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Question added by Deleted user
Date Posted: 2014/10/03
mohamed Hakim CMA CPA Candidate
by mohamed Hakim CMA CPA Candidate , Accounting Manager , Andersen saudi arabia

Variable ,,

 

Fixed cost per unit will decrease  when volume increase

 

Khaled Redwan
by Khaled Redwan , مدير مالي , Nersian Co. Ltd

i agree with alla newers above

its variable

Fawzy Ahmed Salim El-Shabiby
by Fawzy Ahmed Salim El-Shabiby , Accountant , Servtel Information, Security, and Telecommunication Network Limited

The answer is Variable. The volume does not affect the amount of fixed cost as it is stable.

mohammed abdel azim
by mohammed abdel azim , Tech. Clerk , CLEANCO

variable

Kenneth Arvell Auman
by Kenneth Arvell Auman , Accountant , Empire Aviation Group FZCO

variable. . 

2 is the answer, the fixed cost per unit in this case will decrease.

Abdallah Abu Zeyad CMA
by Abdallah Abu Zeyad CMA , Finance Account Manager , Toyota - Abdul Latif Jameel Motors - KSA

The Correct answer is2) Variable

The fixed cost stable as a total and variable with production per unit 

moataz adawy
by moataz adawy , Fainancial manager , E.A.C

The fixed cost is stable in total Variable per unite ( decreases)

tasmeena mirza
by tasmeena mirza , TGT SOCIAL SCIENCE , Little wonder English School

fixed cost means the cost remain fixed during the production. in short term it will decrease if the number of unit increase where as variable cost change or say increase as the production or volume increase. you can understand it as rent which is a fix , for the premises is say2000 for a month and in a month you are going to produce say5000 units and you have to pay10000 to the labour which is a variable cost . now in the next month if you will produce8000 units in the same premises the rent will remain same but the labour cost will increase because you have to pay16000 to them.(10000/5000 =2 per unit labour cost,where as fixed cost is0 .4 rent per unit in first month in the next month fixed cost will be0.25).in long term it may change.

Beshoy Bakheet
by Beshoy Bakheet , Accountant , Midas Sanitary Ware Company

fixed cost per- unit decrease when the the volume increase

Muhammad Usman Shafiq
by Muhammad Usman Shafiq , Manager Accounts , Sehat Al Sewdi Hospital (Dr.Sulaiman Al Habib Medical Group)

fixed cost actully period cost it will never change because of volume but per unit cost varies with volume as inverse realationship.

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