The Y- Axis Intercept of the Supply Curve Is 40

question 145

Multiple Choice

The y- axis intercept of the supply curve is 40 and the slope is 6.The equation of the supply curve is

• A)P = 3 + 40Q_S.
• B)P = 40 + 6Q_S.
• C)P = 40 - 6Q_S.
• D)Q_S = 40 + 6P.
• E)Q_S = 40 - 6P.

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Definitions:

Overhead

encompasses all ongoing business expenses not directly attributed to creating a product or service, including rent, utilities, and administrative costs.

Standard Labor Hours

The preset amount of time that is expected to be required to complete a specific task or job under normal conditions.

Direct Labor Rate Variance

The cost associated with the difference between the actual rate and the standard rate paid for direct labor multiplied by the actual direct labor hours used in producing a commodity.

Actual Costs

The true amount of money spent on a project or activity, as opposed to estimated or budgeted costs.