Question

Dizzy Amusement Park is open from 8:00 am till midnight every day of the year. Dizzy charges its patrons a daily entrance fee of $30 per person which gives them unlimited access to all of the park's 35 rides. For liability insurance, Dizzy pays a set monthly fee plus a small additional amount for every patron entering the park. The cost of liability insurance would best be described as a Multiple Choice fooed cost mixed cost step variable cost true variable cost

Answer 1

Ans is mixed cost. A mixed cost contains both fixed and variable cost. Here dizzy pays a monthly fee for insurance whixh is fixed and additional amount for every patron entering the amusement park which is variable in nature.