An equipment lease that specifies a payment of £5,000 per month plus £8 per machine hour used is an example of a
A)fixed cost.
B)variable cost.
C)step cost.
D)mixed cost.

Name: An equipment lease that specifies a payment of £5,000 per month plus £8 per machine hour used is an example of a A)fixed cost. B)variable cost. C)step cost. D)mixed cost.
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Question

Quizplus · Accepted Answer

The lease payment has a fixed component of £5,000 per month and a variable component of £8 per machine hour used, making it a mixed cost.

An Equipment Lease That Specifies a Payment of £5,000 Per