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The Relevant Range of Zhang Company Is Between 110,000 Units

Question 218

Multiple Choice

The relevant range of Zhang Company is between 110,000 units and 190,000 units per month.If the company produces beyond 190,000 units per month ________.


A) the fixed costs will remain the same, but the variable cost per unit may change
B) the fixed costs may change, but the variable cost per unit will remain the same
C) the fixed costs and the variable cost per unit will not change
D) both the fixed costs and the variable cost per unit may change

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