Figure 3-9.The following cost formula was developed using monthly data for a retail clothing store.Total cost = $75,620 + ($242 * number of customers)
-Refer to Figure 3-9. The term $75,620
A) is the independent variable.
B) is the dependant variable.
C) is the intercept.
D) is the variable rate.

Question

Quizplus · Accepted Answer

The term $75,620 is the intercept, which is the point where the line intersects the y-axis when x is equal to zero. In this case, it represents the total fixed costs of the retail clothing store.