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The Formula for Expressing the Total of a Fixed, Variable

Question 12

Multiple Choice

The formula for expressing the total of a fixed, variable, or mixed cost at any level of activity is:


A) total cost = fixed cost + (variable rate × volume of activity) .
B) total cost = fixed cost × volume of activity.
C) total cost = fixed cost × variable rate.
D) total cost = fixed cost - variable cost.

Correct Answer:

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