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QUESTION 9/12 Company A's total rent for the workshop varies based on the production output, shown as below: Graph showing output on the x-axis
QUESTION 9/12 Company A's total rent for the workshop varies based on the production output, shown as below: Graph showing output on the x-axis versus total rent on the y-axis. There are three pairs of points on the graph, in a step-like pattern going up from left to right. The first pair of points shows when output is between 0-1,000, total rent is 40,000. The second pair of points shows when output is from 1,000-2,000, total rent is 75,000. The third pair of points shows when output is from 2,0003,000, total rent is 110,000. Which of the following statements is correct? 1 point When the company's capacity is within 2,000 units, the rental cost is a fixed cost When the company's capacity is within 1,000 units, the rental cost is a variable cost When the company's capacity is within 3,000 units, the rental cost is a step cost When the company's capacity is within 3,000 units, the rental cost is a fixed cost
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