A linear cost function is a function in which the graph of total costs versus a single cost driver forms a straight line, within the relevant range.

Name: A linear cost function is a function in which the graph of total costs versus a single cost driver forms a straight line, within the relevant range.
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Question

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A linear cost function is defined as a function where the graph of total costs versus a single cost driver is a straight line, indicating a constant rate of cost per unit of the cost driver.

A Linear Cost Function Is a Function in Which the Graph