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Commerce · Q34

Costing

Graduate and Post Graduate · Commerce · question 34

Q34

Which of the following is an example of semi-variable cost?

A.
Salary
B.
Tax
C.
Telephone expenses
Answer
D.
Office expenses

Answer: Option C

Solution

Answer: Option C
Solution:
Telephone expenses is an example of semi-variable cost. A semi-variable cost, also known as a semi-fixed cost or a mixed cost, is a cost composed of a mixture of both fixed and variable components.