Tell Whether a Linear Model or a Quadratic Model Is $x ^ { 2 }$

question 496

Multiple Choice

Tell whether a linear model or a quadratic model is appropriate for the data. If linear, tell whether the slope should be
positive or negative. If quadratic, decide whether the leading coefficient a of $x ^ { 2 }$ should be positive or negative.
-The amount of sales tax paid as a function of the sales price.

• A) quadratic; positive
• B) linear; negative
• C) quadratic; negative
• D) linear; positive

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Definitions:

Fixed Production Costs

Costs that do not change with the level of production output, such as rent, salaries, and equipment depreciation.

Variable Costing

A costing method that includes only variable production costs in the cost of goods sold and treats fixed manufacturing overhead as a period expense.

Absorption Costing

A method of accounting that encompasses the total manufacturing expenses, including direct materials, direct labor, along with both variable and fixed overhead costs, as part of a product's cost.

Net Operating Income

Earnings before interest and taxes (EBIT), measuring a company's profitability from its operations.