FIGURE 12- 3
-Suppose your municipality charges your household a flat fee of $100 per year plus $2 per cubic metre of water used.This pricing policy is an example of

Question

FIGURE 12- 3 
-Suppose your municipality charges your household a flat fee of $100 per year plus $2 per cubic metre of water used.This pricing policy is an example of

Quizplus · Accepted Answer

This pricing policy is an example of a two-part tariff because it consists of a fixed fee ($100 per year) and a variable fee based on usage ($2 per cubic metre of water used).