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Quantitative analysis of budgeting

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Quantitative analysis of budgeting

  • This topic has 3 replies, 2 voices, and was last updated 3 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • August 8, 2021 at 6:09 am #630711
    Arshi-16
    Participant
    • Topics: 23
    • Replies: 6
    • ☆

    The management accountant of a business has identified the following information:
    Activity level 800 units 1,200 units
    Total cost $16,400 $23,600
    The fixed costs of the business step up by 40% at 900 units.

    In this question answer There is 1.4F How did we get that?

    August 8, 2021 at 9:53 am #630737
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54699
    • ☆☆☆☆☆

    If the fixed costs at levels below 900 units are F, then the fixed cost at levels above 900 units will be F + 0.4F which equals 1.4F.

    August 8, 2021 at 11:03 am #630761
    Arshi-16
    Participant
    • Topics: 23
    • Replies: 6
    • ☆

    Ok Now it’s clear..Thankyou Sir

    August 8, 2021 at 5:10 pm #630828
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54699
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘Quantitative analysis of budgeting’ is closed to new replies.

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