Question: The following cost formula was developed using monthly data for a hospital. Total cost = $51,400 + ($125 Number of patient days) The term

The following cost formula was developed using monthly data for a hospital.

Total cost = $51,400 + ($125 × Number of patient days)

The term $125
a. is the variable rate.
b. is the intercept.
c. is the dependent variable.
d. is the independent variable.
e. cannot be determined from the above formula.

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a is the variable rate The term 125 in the cost formula represents the slope or the rate of ch... View full answer

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