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Problem 1: Technical Engineering presently leases a copying machine on a monthly basis. The lease agreement requires a fixed fee each month in addition to a charge per copy. Technical Engineering made 2400 copies and paid a total of $162 in rent in September and in October they paid $195 for 3500 copies. Determine Technical Engineering's variable cost per copy.
A. $0.06
B. $0.04
C. $0.03
D. $0.01
Prepare a report for the Director of your company explaining how costs may be classified by their behaviour, with particular reference to the effects
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