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When using a flexible budget, an increase in activity within the relevant range: decreases fixed cost...

When using a flexible budget, an increase in activity within the relevant range:

decreases fixed cost per unit.

increases variable cost per unit.

decreases total costs.

decreases total variable costs.

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Answer #1
When using a flexible budget, an increase in activity within the relevant range decreases fixed cost per unit.
Total fixed costs remains constant within the relevant range. When activity level increases, fixed cost per unit decreases.
Total variable costs and total costs increases with increase in activity within the relevant range.
Variable cost per unit remains constant within the relevant range.
Option A decreases fixed cost per unit is correct
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