• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

Cost classification

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Cost classification

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by John Moffat.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • July 14, 2019 at 10:25 am #522999
    xyzc
    Participant
    • Topics: 413
    • Replies: 175
    • ☆☆☆☆

    Question: The following statements are about the gradient of a straight line:
    1) The gradient of a straight line is where the line crosses the y-axis.
    2) On a graph which shows a semi-variable cost the variable cost per unit can be determined using the gradient of a line.
    Are the statements true or false?

    In the above question, is the statement number 2 false and why is it so. I
    think the statement number 2 is false because the gradient of the line will be composed of both fixed and variable elements. I mean besides showing fixed costs at quantity zero, there is another part to fixed costs which is built into the gradient of the line and that’s how the graph shows semi-variable cost. Further, the straight line graph will cross the y-axis at 0 quantity, so at a quantity of zero the gradient of the should probably be where the line crosses the y-axis, otherwise, at 0 quantity what would the gradient be or there is no gradient when the value of x axis is zero.

    July 14, 2019 at 11:19 am #523015
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54696
    • ☆☆☆☆☆

    I do not know where you found this question, but assuming that you have copied it correctly then statement 2 is correct.

    The gradient is the angle of the line, and the angle of the line depends on the variable cost per unit.

  • Author
    Posts
Viewing 2 posts - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • dkessilfie on FM Chapter 1 Questions – Financial management objectives
  • ahmadhoney on ACCA Advanced Audit and Assurance (AAA) The Audit Report 3: Types of Audit Report
  • Bimasha@123 on Discounted Cash Flow Techniques – ACCA Advanced Performance Management (APM)
  • Ken Garrett on Discounted Cash Flow Techniques – ACCA Advanced Performance Management (APM)
  • Bimasha@123 on Discounted Cash Flow Techniques – ACCA Advanced Performance Management (APM)

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in