Which of the following is true for the cost formula given below? Total cost = $80,000 + ($200 × number of customers)
The term "number of customers" is the:
A) independent variable.
B) dependent variable.
C) regression rate.
D) overhead rate.

Question

Quizplus · Accepted Answer

The independent variable explains changes in the dependent variable
and, as such, its value does not depend on the value of another
variable.The term "number of customers" is the independent variable.

Which of the Following Is True for the Cost Formula