A Cost Accountant Is Developing a Regression Model to Predict

question 85

Multiple Choice

A cost accountant is developing a regression model to predict the total cost of producing a batch of printed circuit boards as a linear function of batch size (the number of boards produced in one lot or batch) .The intercept of this model is the ______.

• A)batch size
• B)unit variable cost
• C)fixed cost
• D)total cost
• E)total variable cost

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Definitions:

Investments

Assets acquired for the purpose of generating income or profit, including stocks, bonds, real estate, or other vehicles.

Total Dollar Amount

The complete or aggregate sum of money expressed in dollars, typically referring to a specific financial transaction or set of transactions.

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs from its total revenue.

Retained Use

The continued use of an asset by its owner instead of selling or replacing it.