Answer
A strictly linear relationship between cost and volume is only valid when the cost formula is used within the relevant range.
Work Step by Step
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Managerial Accounting (15th Edition)
by Garrison, Ray; Noreen, Eric, Brewer, Peter
Published by
McGraw-Hill Education
ISBN 10:
007802563X
ISBN 13:
978-0-07802-563-1
Chapter 2 - Managerial Accounting and Cost Concepts - Questions - Page 51: 2-8
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