Economics · CVP Analysis
On a standard break-even chart starting from the origin (zero point), which line represents the total variable cost?
- 1The horizontal line representing fixed costs
- 2The line representing total revenue starting from the origin
- 3The line representing total variable cost starting from the origin✓
- 4The line representing total cost starting from the fixed cost intercept
Correct answer
The line representing total variable cost starting from the origin
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