Why does the fixed cost increase and the variable cost remains the same? It should be the opposite.
Md Ariful Islam
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এমবিএ(মার্কেটিং)
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Dr. Md Rushad Rahman
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Total fixed costs should remain the same. The fixed cost per unit will vary according to how many units are produced. For example, if fixed costs were $4000, and 400 units were produced, fixed cost per unit is $10. If 100 units were produced, then fixed cost per unit is $40.
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