Activity-based pricing reduces the direct costs of offering products for sale. allows all customers to pay lower total prices. encourages customers to use as many services as possible that are provided by the seller. charges customers for each service they use.

Option B It presents variable cost as a slope coefficient

Explanation:

The reason is that the total cost function is:

Y = a + bx

The total cost in this case is Y, a is fixed cost as an intercept, b is variable cost represented as an slope and coefficient and x is level of activity which is independent of Y.

So the right answer is option B.