Which of the Following Statements Regarding a Linear Cost Function

question 120

Multiple Choice

Which of the following statements regarding a linear cost function is TRUE?

• A)When there are only fixed costs, total material costs increase as the number of units produced increases.
• B)The slope coefficient of a mixed cost line intersects the vertical axis at zero.
• C)The relationship between the cost driver and the fixed cost is represented by the cost-benefit relationship.
• D)It is easier to identify a single measure of benefit in a more heterogeneous cost pool.
• E)A linear cost function for manufacturing overhead can be graphed when their is a cause-and-effect relationship between the level of activity and the costs related to that level of activity.

---

Definitions:

Interactive Leadership

A leadership style that emphasizes open communication, employee involvement in decision-making, and a collaborative work atmosphere.

Command-and-control

A management style that emphasizes strict control, with decisions made at the top and communicated down the hierarchy.

Women Leaders

Female individuals who hold leadership positions within organizations or movements, often breaking barriers and setting examples in predominantly male environments.

Positive Relationships

Interactions or connections between individuals that are characterized by mutual respect, cooperation, and positive feelings.