Ask Question
14 July, 05:12

Which of the following statements is true of a linear cost function? A. It presents total cost as an intercept. B. It presents variable cost as a slope coefficient. C. It presents variable cost as an intercept. D. It presents total cost as slope coefficient.

+1
Answers (1)
  1. 14 July, 07:35
    0
    Option B It presents variable cost as a slope coefficient

    Explanation:

    The reason is that the total cost function is:

    Y = a + bx

    The total cost in this case is Y, a is fixed cost as an intercept, b is variable cost represented as an slope and coefficient and x is level of activity which is independent of Y.

    So the right answer is option B.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Which of the following statements is true of a linear cost function? A. It presents total cost as an intercept. B. It presents variable ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers