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Author Question: Suppose you are charged a $10 per month base charge for your electrical service. You are also ... (Read 42 times)

aeb093

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on: Feb 5, 2023

Question 1

Suppose you are charged a $10 per month base charge for your electrical service. You are also charged an additional $0.08 for every kwh of electricity you use. The cost is an example of a
◦ fixed cost.
◦ variable cost.
◦ mixed cost.
◦ step cost.

Question 2

Suppose you are charged a $10 per month base charge for your electrical service. You are also charged an additional $0.08 for every kwh of electricity you use. Which one of the following statements is not true?
◦ The total cost is an example of a mixed cost.
◦ The $0.08 charge per kwh is a variable cost.
◦ The $10 base charge is a fixed cost.
◦ The total cost is an example of a step cost.
Managerial Accounting ¦ Davis ¦ 4th Edition
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Marked as best answer by aeb093 on Feb 5, 2023

DevinBrifm

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Reply #1 on: Feb 5, 2023
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aeb093

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Reply 2 on: Feb 5, 2023
Thanks for the timely response, appreciate it

xiaomengxian

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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