At Zero Direct Labor Hours in a Flexible Budget Graph

question 93

Multiple Choice

At zero direct labor hours in a flexible budget graph the total budgeted cost line intersects the vertical axis at $30000. At 15000 direct labor hours a horizontal line drawn from the total budgeted cost line intersects the vertical axis at $90000. Fixed and variable costs may be expressed as:

• A) $30000 fixed plus $4 per direct labor hour variable.
• B) $30000 fixed plus $6 per direct labor hour variable.
• C) $60000 fixed plus $2 per direct labor hour variable.
• D) $60000 fixed plus $4 per direct labor hour variable.

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Definitions:

William James

An American philosopher and psychologist, often referred to as the father of American psychology.

Functionalism

A theory in psychology that focuses on the purpose and adaptive functions of human behavior and mental processes.

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An individual who establishes something, such as a company or organization, often leading it and shaping its vision and direction.

Psychoanalysis

A therapeutic approach and theory of psychology developed by Sigmund Freud, focusing on unconscious processes and childhood experiences.