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cost behaviour – graphs

Forums › ACCA Forums › ACCA MA Management Accounting Forums › cost behaviour – graphs

  • This topic has 6 replies, 3 voices, and was last updated 12 years ago by aam2009.
Viewing 7 posts - 1 through 7 (of 7 total)
  • Author
    Posts
  • April 22, 2010 at 11:23 am #43612
    ansi
    • Topics: 121
    • Replies: 805
    • ☆☆☆☆

    I have a question regarding different graphs that illustrate costs behaviour. General standard graphs are clear, but when it comes to particular situations, i get lost.

    More preciesely, I fail to understand the graphs from OT course notes for f2 . Chapter2, test2 , p11 .
    (I tried to upload a printscreen of it , but seems it’s not longer possible here).

    Can anyone explain me, why in this situation the correct answer is B. And which situations could be illustrated by A and D options.

    Thank you in advance,
    Ansi

    April 22, 2010 at 1:08 pm #59501
    abbasjlmpk
    • Topics: 1
    • Replies: 2
    • ☆

    first Tell me how attach an image then i will show you how it is happened ….

    April 22, 2010 at 1:09 pm #59502
    abbasjlmpk
    • Topics: 1
    • Replies: 2
    • ☆

    I saw your post…….
    basically what the examiner is saying that. when you purchase specific no of units you will will be charge for example $4 p.u. and specific no of units are 100. and if you buy more than 100 units you will charged low cost what it is….. the point is that he is saying when achieve that 100 units if you buy more you will be charged low cost on all units, the units you bought before and the units you will buy further. I have an image about this i draw to tell i am attaching…..

    April 23, 2010 at 5:10 am #59503
    ansi
    • Topics: 121
    • Replies: 805
    • ☆☆☆☆

    hello,

    thank you very much for your reply and explanation.
    however , what you just explained is clear for me. But in this situation i would tend to choose A option as a correct answer , but it’s not correct.

    So I was wondering what is the difference between A, B and D , i mean practical difference.

    AS for attachments i’m not sure it is still possible to browse files from your pc to OT forum. However, maybe you could send that file to my e-mail : anastasia.ch@gmail.com

    Thank you!

    April 23, 2010 at 10:21 am #59504
    aam2009
    • Topics: 8
    • Replies: 39
    • ☆

    I had the same problem as you, I didn’t see the reasoning between the different sets of graphs. Here’s the link to my topic where some kind members explained the logic behind those graphs:

    Chapter 2 test, explanation for graphs

    I hope this helps, if not keep asking questions here and maybe I or someone else can further explain. Good luck.

    April 23, 2010 at 12:45 pm #59505
    ansi
    • Topics: 121
    • Replies: 805
    • ☆☆☆☆

    Aam2009 , thank you so much!!
    When I read that topic till the end i had the same reaction as you , i didn’t expect that the solution might be so easy !

    Their explanations for 7th question are also quite helpful. AT the beginning I spent a long time to settle it. And though i settled it correctly, the solution of OT outlined a shorter technique which i just couldn’t understand before:)

    Good luck to you too!

    April 23, 2010 at 2:42 pm #59506
    aam2009
    • Topics: 8
    • Replies: 39
    • ☆

    @ansi said:
    Aam2009 , thank you so much!!
    When I read that topic till the end i had the same reaction as you , i didn’t expect that the solution might be so easy !

    Their explanations for 7th question are also quite helpful. AT the beginning I spent a long time to settle it. And though i settled it correctly, the solution of OT outlined a shorter technique which i just couldn’t understand before:)

    Good luck to you too!

    No problem, we tend to overlook the simple solutions!

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