The local utility company charges ABC Company at a mixed cost utility rate: an annual fee...

Transcribed Image Text:

The local utility company charges ABC Company at a mixed cost utility rate: an annual fee plus a variable cost for each kilowatt of power the company uses. Utility usage and costs are as follows: Kilowatts Utility Costs 187,976 $135,500 219,764 170,000 196,644 160,000 143,987 114,000 156,983 128,000 115,300 89,000 156,392 108,000 125,982 98,000 151,999 88,000 170,637 140,000 294,000 165,000 184,763 144,000 The local utility company charges ABC Company at a mixed cost utility rate: an annual fee plus a variable cost for each kilowatt of power the company uses. Utility usage and costs are as follows: Kilowatts Utility Costs 187,976 $135,500 219,764 170,000 196,644 160,000 143,987 114,000 156,983 128,000 115,300 89,000 156,392 108,000 125,982 98,000 151,999 88,000 170,637 140,000 294,000 165,000 184,763 144,000

Answer rating: 100% (QA)

To calculate the fixed and variable components of the mixed cost utility rate we ca... View the full answer