Kodama Corporation staffs a helpline to answer questions from customers. The costs of operating the helpline are variable with respect to the number of calls in a month. At a volume of 30,000 calls in a month, the costs of operating the helpline total $369,000. To the nearest whole cent, what should be the average cost of operating the helpline per call at a volume of 31,300 calls in a month? (Assume that this call volume is within the relevant range.)
A)$12.30
B)$11.79
C)$10.92
D)$12.05

Question

Quizplus · Accepted Answer

The average cost per call is the total cost divided by the number of calls. At a volume of 30,000 calls, the average cost per call is $369,000 / 30,000 = $12.30. At a volume of 31,300 calls, the average cost per call is $369,000 / 31,300 = $11.79.

Kodama Corporation Staffs a Helpline to Answer Questions from Customers