Which One of Following Is Not a Reason to Take

question 68

Multiple Choice

Which one of following is not a reason to take into account the relevant range when estimating a cost?

• A) The cost function is nearly linear within a relevant range
• B) It is reasonable to assume that fixed costs remaining fixed in this range
• C) It is reasonable to assume that variable costs remain constant in this range
• D) We cannot make assumptions about linearity within a relevant range

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