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Hi sir,
Plz cud you help me with this question? I would really appreciate it. ThanksAn organisation has the following total costs at three activity levels:
Activity level: 2,000 3,000 4,000
Total cost : $10,100 $13,900 $17,825
Variable cost per unit is constant within this activity range and there is a step up of 5% in the total fixed costs when activity levels exceed 3,500 units.What is the total cost at an activity level of 3,750 units?
hi sir,
if u dnt mind,could you also work this out for me. I jst cant seem to understand stepped fixed costs 🙁A company manufacturing a single product has the following costs at two different activity levels:
Activity level (units) 15,000 25,000
Total costs ($) 94,500 151,500
Variable costs are constant at all activity levels, but fixed costs increase by $2,000 every 10,000 units.
What are the fixed costs at an activity level of 5,000 units?I am sorry, but we can’t and don’t simply provide answers to test questions.
You must watch our free lectures and then attempt our online practice tests after each chapter – they show the full workings to each question after you have tried it yourself.
If you choose to practice more questions (which you should) then you should be using one of the Revision Kits published by one of the ACCA approved publishers (BPP, Becker, or Kaplan) – those books have full answers to all of their questions.Use this forum to ask about things you do not understand in our lectures or in the Revision Kits – it is not for simply setting test questions for me to answer 🙂
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