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Exam CIMAPRA17-BA2-1 Topic 1 Question 88 Discussion
CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 88 Discussion
Actual exam question for CIMA's CIMAPRA17-BA2-1 exam
Question #: 88
Topic #: 1
[All CIMAPRA17-BA2-1 Questions]
Within the relevant range, a variable cost is a cost which:
A
cannot be forecast with any degree of accuracy because of its variability.
B
varies in total in proportion to the level of activity.
C
varies per unit in proportion to the level of activity.
D
varies in total in proportion to the level of inflation.
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Suggested Answer:
B
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Jan 14, 2025, 09:07 AM
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Ronald
1 months ago
Wait, are we talking about variable costs or variable speed blenders? I'm a little confused over here...
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Mitsue
17 days ago
A) cannot be forecast with any degree of accuracy because of its variability.
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Shaunna
1 months ago
Option B is the way to go. Keeps it simple - variable costs move up and down with the activity level. No need to overcomplicate it.
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Catherin
1 months ago
Haha, I'm gonna have to go with 'C' on this one. Varies per unit? That's just common sense, right? *wink*
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Adria
5 days ago
User 3: Yeah, I agree with Adria. 'C' makes sense.
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Kanisha
13 days ago
User 1: I think 'C' is the correct answer.
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Rosalind
15 days ago
User 2: Nah, I'm pretty sure it's 'C'.
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Antonette
1 months ago
User 1: I think it's 'B'.
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In
2 months ago
I agree with Jaime. Variable costs are directly tied to the volume of production or sales, not external factors like inflation.
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Jerry
16 days ago
User 4: So, variable costs are directly related to production or sales volume, not inflation.
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Micaela
1 months ago
User 3: Yes, variable costs per unit change as the level of activity changes.
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Wava
1 months ago
User 2: I agree, variable costs change based on the level of activity.
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Justa
1 months ago
User 1: I think the answer is B) varies in total in proportion to the level of activity.
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Tomoko
2 months ago
I'm not sure, but I think it's C. Variable costs per unit change with activity levels.
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Jonell
2 months ago
I agree with Tegan, because variable costs change in total as activity changes.
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Jaime
2 months ago
Option B seems the most accurate to me. Variable costs definitely vary with the level of activity, not just inflation.
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Lenny
18 days ago
Definitely, it's crucial to understand how variable costs will impact the overall cost structure of a business.
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Charlie
19 days ago
I think option B is the best choice here. It makes sense that variable costs would vary in total in proportion to the level of activity.
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Catalina
20 days ago
Yes, that's correct. It's important to consider how variable costs will fluctuate with production levels.
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Ria
21 days ago
I agree, variable costs do change based on the level of activity.
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Tegan
3 months ago
I think the answer is B.
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Ronald
1 months agoMitsue
17 days agoShaunna
1 months agoCatherin
1 months agoAdria
5 days agoKanisha
13 days agoRosalind
15 days agoAntonette
1 months agoIn
2 months agoJerry
16 days agoMicaela
1 months agoWava
1 months agoJusta
1 months agoTomoko
2 months agoJonell
2 months agoJaime
2 months agoLenny
18 days agoCharlie
19 days agoCatalina
20 days agoRia
21 days agoTegan
3 months ago