Verizon Communications Inc. provides telecommunications services using operating costing. In January 2034, the company incurs the following costs:

• Network Maintenance: $20 million (fixed)
• Customer Service: $15 million (variable)
• Marketing Expenses: $10 million (semi-variable)

Required:

• Classify each cost as fixed, variable, or semi-variable.
• Analyze the cost behavior of operating costs in telecommunications services.
• Determine the total cost assuming 10 million customers served.