Asked by
Darius Coley
on Nov 13, 2024
Verified
Which of the following is not true about the graph of a mixed cost?
A) It is possible to determine the amount of the fixed cost from the graph.
B) There is a total cost line on the graph.
C) The fixed cost portion of the graph is the same amount at all levels of activity.
D) The variable cost portion of the graph is rectangular in shape.
Mixed Cost
A cost that contains both variable and fixed cost elements, meaning part of the cost varies with the level of output while part remains fixed.
Fixed Cost
Costs that do not change with the level of production or sales, such as rent, salaries, and insurance premiums.
- Determine and differentiate among fixed, variable, and mixed costs.
Verified Answer
DW
Learning Objectives
- Determine and differentiate among fixed, variable, and mixed costs.