J-Mobile provides cellular phone and Internet services with a plan that provides up to 1,000 minutes of airtime usage for a flat rate of $99.99 per month plus a charge for any minutes used over this amount at the rate of $0.10 per minute in excess of the minimum 1,000 airtime minutes.Which of the following describes the cost of the J-Mobile service?
A)fixed cost,only.
B)variable cost,only.
C)semi-variable cost.
D)semi-fixed cost.

Question

Quizplus · Accepted Answer

The cost of J-Mobile service is semi-variable because it has a fixed portion of $99.99 per month and a variable portion for any usage over the 1,000-minute allowance at a rate of $0.10 per minute.

J-Mobile Provides Cellular Phone and Internet Services with a Plan