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A-LevelAccountingTraditional costing methods9706/12 · Oct/Nov 2017 · Q271 Mark

The diagram illustrates the cost behaviour of a typical telephone invoice. [Figure: A graph with 'total cost $' on the y-axis and 'level of activity' on the x-axis. The line starts at a positive y-intercept and slopes upwards.] Which term best describes the behaviour of this cost?

This question uses a diagram from the original paper, which isn't shown here. Open the full paper from the past papers archive to see it.

Afixed
Bsemi-variable
Cstepped
Dvariable

✓ Correct answer

B: semi-variable

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About this question

Topic
Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Oct/Nov 2017 Paper 1 Variant 2, question 27.

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