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Find the level of activity…

Forums › FIA Forums › MA2 Managing Costs and Finance Forums › Find the level of activity…

  • This topic has 0 replies, 1 voice, and was last updated 9 years ago by ericasiewyongjie.
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  • December 16, 2015 at 2:05 pm #291993
    ericasiewyongjie
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    • Topics: 5
    • Replies: 1
    • ☆

    A particular cost has been classified as “semi-variable”.

    How will the average cost per unit of activity be affected by a 20% reduction in the level of activity?

    A.Decrease by less than 20%
    B.Decrease by more than 20%
    C.Increase by less than 25%
    D.Increase by more than 25%

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