Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

According to an article in the Wall Street Journal, UPS, the package delivery firm, announced that because of the surge in online shopping during the

According to an article in the Wall Street Journal, UPS, the package delivery firm, announced that because of the surge in online shopping during the Covid-19 pandemic, it would charge new fees on packages shipped during the holiday season: "UPS...said the fees could total as much as $3 a package for ground shipments and other lower-priced shipping options and up to $4 a package for air shipments bound for residences." Source: Paul Ziobro, "UPS Plans Hefty Holiday Fees Amid Coronavirus-Related Shipment Surge," Wall Street Journal, August 7, 2020. Suppose that you own a firm that will be shipping packages during the holiday season. Are these UPS fees a fixed cost or a variable cost to you? A. Fixed cost, since the cost of shipping these packages are fixed at $3 for ground shipments and $4 for air shipments. B. Variable cost, since shipping costs change based on how much is being shipped. C. Variable cost, since the cost of shipping these packages depend on whether the package is shipped on the ground or in the air. D. Fixed cost, since shipping costs do not change based on how much is being shipped

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Retail Management A Strategic Approach

Authors: Barry Berman, Joel Evans, Patrali Chatterjee

13th Edition

0133796841, 9780133796841

More Books

Students also viewed these General Management questions

Question

Why are sole proprietorships the most popular form of ownership?

Answered: 1 week ago

Question

Explain the factors influencing wage and salary administration.

Answered: 1 week ago

Question

Examine various types of executive compensation plans.

Answered: 1 week ago

Question

1. What is the meaning and definition of banks ?

Answered: 1 week ago

Question

8. What values do you want others to associate you with?

Answered: 1 week ago