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The staffing policy for a supermarket is to have one cashier station open for every forecasted 20 customers per hour. Cashiers are hired by the hour as and when required, and do not perform any other duties.

The cost of the cashiers in relation to the number of customers would be classified as which type of cost?

Options:

Stepped fixed cost

Variable cost

Semi-variable cost

Fixed cost

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Question 2

Which of the following is a relevant cost?

Options:

A sunk cost

A committed cost

An incremental cost

A historical cost

Question 3

Which of the following would have an impact on the cash budget?

(a) Change in payables terms

(b) Change in the rate of depreciation

(d) Change of inventory holding policy

Options:

None of the above

(a), (b) and (c)

(a), (c) and (d)

All of the above

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Fundamentals of Management Accounting Questions and Answers

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