Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

CIMAPRA17-BA2-1 Exam - Topic 3 Question 103 Discussion

Refer to the exhibit.Which ONE of the following can be represented by this graph?
D) A variable cost -- where the vertical axis is cost per unit
A) A fixed cost -- where the vertical axis is cost per unit
B) A variable cost -- where the vertical axis is total cost incurred
C) A semi-variable cost -- where the vertical axis is total cost incurred

CIMAPRA17-BA2-1 Exam - Topic 3 Question 103 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam
Question #: 103
Topic #: 3
[All CIMAPRA17-BA2-1 Questions]

Refer to the exhibit.

Which ONE of the following can be represented by this graph?

Show Suggested Answer Hide Answer
Suggested Answer: D

Contribute your Thoughts:

0/2000 characters
Belen
4 months ago
I agree with B. Total costs increase as more units are produced.
upvoted 0 times
...
Pete
4 months ago
I'm leaning towards D. Variable costs change with production levels.
upvoted 0 times
...
Callie
4 months ago
I feel it's C. Semi-variable costs have fixed and variable components.
upvoted 0 times
...
Regenia
4 months ago
I think it's A. Fixed costs don't change with output.
upvoted 0 times
...
Fatima
4 months ago
This graph seems off for a fixed cost, right?
upvoted 0 times
...
Quentin
5 months ago
Wait, is that really how variable costs are shown?
upvoted 0 times
...
Colene
5 months ago
I thought it could be semi-variable too, but not sure.
upvoted 0 times
...
Charlena
5 months ago
Definitely option D, can't be anything else.
upvoted 0 times
...
Robt
5 months ago
Looks like a variable cost graph to me!
upvoted 0 times
...
Sheridan
5 months ago
Variable cost per unit would be a weird way to represent it, so I'm going with B.
upvoted 0 times
...
Gene
5 months ago
Haha, I bet the exam writer is trying to trick us with these similar-sounding options. Gotta stay on our toes!
upvoted 0 times
...
Gearldine
6 months ago
The graph doesn't look like a fixed cost, so B or D could be the right answer.
upvoted 0 times
...
Talia
6 months ago
I agree, the linear relationship between the activity level and total cost points to a variable cost.
upvoted 0 times
...
Trevor
6 months ago
Option B seems correct, the graph shows a variable cost where the total cost incurred increases as the activity level rises.
upvoted 0 times
...
Emelda
7 months ago
I feel like the vertical axis being total cost incurred could help identify it as a variable cost, but I need to double-check my notes.
upvoted 0 times
...
Kenneth
7 months ago
I’m leaning towards option C, but I can't recall how to differentiate between semi-variable and variable costs clearly.
upvoted 0 times
...
Phung
7 months ago
I remember practicing a similar question where we had to identify fixed vs. variable costs based on graphs. This one feels tricky!
upvoted 0 times
...
Angelyn
7 months ago
I think this graph might show a variable cost, but I'm not sure if it's total cost or cost per unit on the vertical axis.
upvoted 0 times
...
Sherly
7 months ago
This is a tricky one, but I think I've got it. The linear relationship and the fact that the line doesn't pass through the origin means it's not a fixed cost. And since the vertical axis is showing total cost, not cost per unit, I'm going to go with option C, a semi-variable cost.
upvoted 0 times
...
Derick
7 months ago
I'm a bit confused by this question. The graph doesn't seem to match the options very well. I'll need to re-read the question and the options carefully to make sure I understand what they're asking for.
upvoted 0 times
...
Vincenza
8 months ago
Okay, I think I've got this. The linear relationship and the fact that the line doesn't pass through the origin suggests it's a semi-variable cost, where the vertical axis is showing total cost incurred. I'm going with option C.
upvoted 0 times
...
Loreta
8 months ago
Hmm, the graph has a linear relationship, so it's probably not a fixed cost. I'm leaning towards it being a variable cost, but I'm not confident about whether the vertical axis is showing cost per unit or total cost.
upvoted 0 times
...
Vanda
8 months ago
This graph looks like it could represent a variable cost, but I'm not sure if the vertical axis is showing cost per unit or total cost. I'll need to think through the options carefully.
upvoted 0 times
Tasia
2 months ago
Good point! We need to analyze the graph more closely.
upvoted 0 times
...
Goldie
2 months ago
But is it cost per unit or total cost?
upvoted 0 times
...
Roosevelt
4 months ago
I think it’s definitely a variable cost.
upvoted 0 times
...
...

Save Cancel