An Equation of a Line for Total Mixed Costs Is

question 172

Multiple Choice

An equation of a line for total mixed costs is

• A)y = vx + f.
• B)y = vx - f.
• C)f = vx - y.
• D)f = vx + y.

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Definitions:

Cash Basis

An accounting method where revenues and expenses are recorded when they are actually received or paid out in cash.

IRR

The Internal Rate of Return is a financial measurement tool used to assess the profitability of prospective investments.

Accounting Basis

The method used to record financial transactions; common methods include cash basis and accrual basis accounting.

Scenario Analysis

A method of evaluating potential future scenarios by contemplating various possible results, often used for strategic planning purposes.