Use the Following to Answer Questions

Multiple Choice

Use the following to answer questions:
The traceable fixed and variable costs of the purchasing activity center are $260,000. An analysis of the center's cost behavior showed a fixed cost of $100,000 and the appropriate cost driver to be the number of lines inputted. The total number of lines inputted is 2,000,000.
-What is the overhead cost function for this activity center?

A) Costs = $100,000 + $0.08(lines)
B) Costs = $100,000 + $0.13(lines)
C) Costs = $260,000 + $0.08(lines)
D) Costs = $0.13(lines)