A-LevelAccountingTraditional costing methods9706/12 · May/June 2022 · Q231 Mark

Q Limited employs machine operators and supervisors. Each machine operator produces 100 units per week. One supervisor can supervise up to 10 machine operators and is paid $550 per week. Production is 7700 units per week. Which type of cost is the supervisors' pay and how much is their total pay per week?

Atype of cost: stepped, total pay per week: $4235

Btype of cost: stepped, total pay per week: $4400

Ctype of cost: variable, total pay per week: $4235

Dtype of cost: variable, total pay per week: $4400

✓ Correct answer

B: type of cost: stepped, total pay per week: $4400

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Topic: Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, May/June 2022 Paper 1 Variant 2, question 23.

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