In a mixed- cost function, the intercept is:
A) number of units of the cost driver
B) variable cost per unit of the cost driver
C) fixed cost
D) total cost

Name: In a mixed- cost function, the intercept is: A) number of units of the cost driver B) variable cost per unit of the cost driver C) fixed cost D) total cost
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Question

Quizplus · Accepted Answer

The intercept in a mixed-cost function represents the fixed cost, which is the portion of the cost that does not change with the level of activity.

In a Mixed- Cost Function, the Intercept Is