What is the cost formula for operating expenses where X represents the number of books sold?
A) Y = $84,000 + $7.00X.
B) Y = $84,000 + $8.50X.
C) Y = $98,000 + $7.00X.
D) Y = $98,000 + $8.50X.VC operating expenses = 5.50 + 50 * .03 = $7

Question

Quizplus · Accepted Answer

The variable cost per book is calculated as $5.50 + ($50 * 0.03) = $7.00. Therefore, the cost formula is Y = $84,000 (fixed costs) + $7.00X (variable costs per book).

What Is the Cost Formula for Operating Expenses Where X