Slope coefficient is 0 75 and difference in machine hours is...

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Slope coefficient is 0.75 and difference in machine hours is 65000 then difference in cost would be

A. $86,667

B. $48,750

C. $85,000

D. $55,000

Answer: Option B

Solution (By Examveda Team)

Slope coefficient = Difference in costs ÷ Difference in machine hours
Difference in cost = Difference in machine hours × Slope coefficient
= 65000 × 0.75 = $48,750

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