Grundmann Inc

question 92

Multiple Choice

Grundmann Inc. reports that at an activity level of 6,500 machine-hours in a month, its total variable inspection cost is $487,110 and its total fixed inspection cost is $326,040.
-What would be the total variable inspection cost at an activity level of 6,600 machine-hours in a month? Assume that this level of activity is within the relevant range.

• A) $494,604
• B) $331,056
• C) $487,110
• D) $813,150

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Definitions:

Sample

A portion of the overall population picked for conducting studies or inquiries in order to collect demographic data.

Frequency Polygon

A graphical representation of the distribution of a dataset that shows how often each value occurs, connecting each data point by straight lines.

Frequency Distribution

A summarization of data by reporting the number of observations that fall within each range or bin of values for a specific variable.

Pie Graph

A circular chart divided into sectors, each sector shows the relative size of each value to the total.