The range of operations within which a linear cost function is valid is called:
A)the linear average.
B)the relevant range.
C)the marginal range.
D)the functional range.

Question

Quizplus · Accepted Answer

The relevant range is the range of operations within which a linear cost function is valid. It is important for managers to know the relevant range because costs may change outside of this range and a linear cost function may not be valid.

The Range of Operations Within Which a Linear Cost Function