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If difference between costs linked to highest and lowest observation of...

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Costing
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If difference between costs linked to highest and lowest observation of cost driver is $8000 and observation of cost driver is 40 machine hours, then slope coefficient will be

Answer & Solution
Correct Answer: Option B
Slope coefficient = Difference between costs linked to highest and lowest observation of cost driver ÷ Observation of cost driver
= $8000 ÷ 40 = $200
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