X-ray film used in the radiology lab at Queens Medical Centre in Nottingham. Variable or fixed?
Costs classification - Week 8

Quiz
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Other
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University
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Hard
Linxi Shemily
Used 7+ times
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11 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Variable costs
Fixed costs
Semi-variable costs
I don't know
Answer explanation
why?
-The higher the number of patients x-rayed, the more x-ray film is required to serve the patients.
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
The costs of advertising a 1D concert in the O2 in London. Variable costs or fixed costs?
Variable costs
Fixed costs
Semi-variable costs
I don't care.
Answer explanation
Why
The advertising cost is not related to the number of tickets sold to that concert. It makes no difference whether there are only 10 people attending it, or 30,000.
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Depreciation on the new venue of Costa Coffee in Greenwich Church Street. Variable or fixed?
Fixed costs
Variable costs
Semi-variable costs
Guess what?
Answer explanation
Why
Depreciation depends on the investment into the new venue as well as the assumed useful life of the venue. It does not matter whether 10 or 10,000,000 customers are being served coffee and muffins, the depreciation would not change.
4.
MULTIPLE SELECT QUESTION
45 sec • 1 pt
The electrical costs of running a roller-coaster at Blackpool.
Variable costs
Fixed costs
Semi-variable costs
I will not pay for it.
Answer explanation
Why?
This depends on the exact tariff. Electrical costs are – as a utility cost - usually semi-variable, that means one part of the tariff is fixed and has to be paid no matter what (like a “service charge”), and another part depends on the electricity consumed. The more visitors ride the roller-coaster, the more electricity is necessary to run it.
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Property taxes on the Greenwich Picturehouse.
Variable costs
Fixed costs
Semi-variable costs
I will wait for your answer, instead.
Answer explanation
why?
The basis for property tax is the value of the taxed property and not the number of cinema goers.
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Commissions paid to a salesperson at Pearson.
Fixed costs
Variable costs
Not known
Semi-variable costs
Answer explanation
Why?
Commission is paid on the basis of number of copies of a textbook sold. If the salesperson sells no copy at all, there will be no commission cost to Pearson.
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Property insurance on the Meantime Brewery bottling plant.
Fixed costs
Variable costs
Semi-variable costs
No idea.
Answer explanation
Why?
Insurance cost does not depend on the number of bottles produced and sold. For insurance, factors like property location, reputation of insurance holder, security measures etc. influence the quoted premium.
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