Ali is a member of a family that consists of him, his father, his mother and his older brother. Each member of the family has his own mobile phone. Each mobile phone is on a post-paid plan, for which a monthly bill is received at the end of each month. The electricity, on the other hand, is provided to the entire house in general, with one bill is received at the end of each month. The father has recently received the electricity bill for the month. and wishes to do some analysis of electricity consumption. Assuming that the value of the electricity bill is calculated based on the number of kilowatts consumed plus a constant monthly subscription fees. In the above information, the cost of electricity to Ali is: O a. A direct fixed cost O b. An indirect fixed cost O c. Anindirect mixed cost O d. An indirect, variable cost O e. Adirect, variable cost

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter3: Income Sources
Section: Chapter Questions
Problem 41P
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OT¢ DUP not
Ali is a member of a family that consists of him, his father, his mother and his
older brother. Each member of the family has his own mobile phone. Each
on
mobile phone is on a post-paid plan, for which a monthly bill is received at
the end of each month. The electricity, on the other hand, is provided to the
entire house in general, with one bill is received at the end of each month.
The father has recently received the electricity bill for the month. and
wishes to do some analysis of electricity consumption. Assuming that the
value of the electricity bill is calculated based on the number of kilowatts
of
consumed plus a constant monthly subscription fees. In the above
information, the cost of electricity to Ali is:
O a. Adirect fixed cost
O b. Anindirect fixed cost
An indirect mixed cost
O d. An indirect, variable cost
A direct, variable cost
IOUS PAGE
NEXT PAGE
Transcribed Image Text:OT¢ DUP not Ali is a member of a family that consists of him, his father, his mother and his older brother. Each member of the family has his own mobile phone. Each on mobile phone is on a post-paid plan, for which a monthly bill is received at the end of each month. The electricity, on the other hand, is provided to the entire house in general, with one bill is received at the end of each month. The father has recently received the electricity bill for the month. and wishes to do some analysis of electricity consumption. Assuming that the value of the electricity bill is calculated based on the number of kilowatts of consumed plus a constant monthly subscription fees. In the above information, the cost of electricity to Ali is: O a. Adirect fixed cost O b. Anindirect fixed cost An indirect mixed cost O d. An indirect, variable cost A direct, variable cost IOUS PAGE NEXT PAGE
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