The Relevant Production Range for Challenger Trailers,Inc

Multiple Choice

The relevant production range for Challenger Trailers,Inc.is between 130,000 units and 180,000 units per month.If the company produces beyond 180,000 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