Figure 3-6

Multiple Choice

Figure 3-6.Taran Company incurred the following costs for the months of January and February.
-Refer to Figure 3-6. If output was 5,000 units in January and 10,000 units in February we can assume that

A) utilities and materials are variable costs.
B) utilities, insurance, and depreciation are fixed costs.
C) insurance and depreciation are mixed costs.
D) materials is the only variable cost.