The Following Cost Formula Was Developed Using the Monthly Data

question 133

Multiple Choice

The following cost formula was developed using the monthly data for Nova Scotia Accounting Firm.
Total cost = $87,100 + ($210 × number of tax returns)
-Refer to Nova Scotia Accounting Firm's cost formula.What does $87,100 represent?

• A)the independent variable
• B)the dependant variable
• C)the intercept
• D)the variable rate

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Definitions:

Constructs

Abstract concepts developed in the mind to understand and interpret the world around us.

Intellectual Hypothesis

A tentative explanation or theory that seeks to interpret or solve cognitive, philosophical, or theoretical issues.

Personality

An individual's characteristic pattern of thinking, feeling, and behaving that distinguishes one person from another.

Choice Corollary

A principle in George Kelly's personal construct psychology that suggests individuals choose for themselves the construction process that they anticipate will best help them anticipate future events.