Assume a plant manager is interested in analyzing the total cost (per month) of a raw material used in the production process. The relevant cost driver for this cost is number of units produced (per month). Assume the supplier of the raw material offers a bulk (volume) discount. In the related cost graph, the total cost line would be:

 a.  non-linear

b.  linear starting at the origin (where X=0 and Y=0)

c.  linear starting at a point other than the origin.

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STEP 1 Total Variable costs are the costs which varies with level of outputs Variable cost graph gen... View the full answer