Which of the following statements concerning regulatory objectives of rate making is (are)true?
I.Rates must not be unfairly discriminatory.
II.Rates must be adequate.
A)I only
B)II only
C)both I and II
D)neither I nor II

Question

Quizplus · Accepted Answer

Both statements are true. One of the primary objectives of rate making is to ensure that rates are non-discriminatory and applied equally to all customers. Additionally, rates must be set at a level that is adequate to cover the costs of providing the service.

Which of the Following Statements Concerning Regulatory Objectives of Rate