b) cost: () The following graph is given as an example of the cost characteristic of...

 

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b) cost: () The following graph is given as an example of the cost characteristic of a variable V ii) cost REQUIRED: Prepare a graph for each of the following situations (NOTE: The shape of the graphs is more important than their detailed scaling): Rates of the factory premises for half a year costing £50,000. The company telephone account comprising of a quarterly charge of £100 and a cost per call of £0.40. Activity (i.e. output or usage) A quantity discount agreement: 5% discount when the monthly order exceeds £2,000 10% discount when the monthly order exceeds £5,000 20% discount when the monthly order exceeds £10,000 iv) A car hire agreement whereby there is: A minimum weekly charge of £50 A charge per mile of £0.10 A maximum weekly charge of £100 b) cost: () The following graph is given as an example of the cost characteristic of a variable V ii) cost REQUIRED: Prepare a graph for each of the following situations (NOTE: The shape of the graphs is more important than their detailed scaling): Rates of the factory premises for half a year costing £50,000. The company telephone account comprising of a quarterly charge of £100 and a cost per call of £0.40. Activity (i.e. output or usage) A quantity discount agreement: 5% discount when the monthly order exceeds £2,000 10% discount when the monthly order exceeds £5,000 20% discount when the monthly order exceeds £10,000 iv) A car hire agreement whereby there is: A minimum weekly charge of £50 A charge per mile of £0.10 A maximum weekly charge of £100

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i Variable cost graph ii A combination of fixed cost and variable ... View the full answer