Cleveland College Recently Leased a Photocopy Machine for $1,500 Per

question 28

Multiple Choice

Cleveland College recently leased a photocopy machine for $1,500 per month plus $0.04 per copy. Additional variable operating costs were $0.02 per copy. Cleveland College estimated it would produce a total of 30,000 copies per month. The Physics Department estimated it would produce 6,000 copies, but actually produced only 4,000 copies. If fixed and variable cost pools are allocated separately, then the amount of fixed costs allocated to the Physics Department should be:

• A) $360
• B) $300
• C) $200
• D) $240

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Definitions:

70mm Film

A high-resolution film gauge, used for shooting and projecting movies, known for its superior image quality.

Gauge

In film, refers to the width of the film stock and its perforations, dictating the type of equipment needed for projection. Common gauges include 8mm, 16mm, 35mm, and 70mm.

Resolution

The ability of a camera lens to define images in sharp detail.

Lumière Brothers

Pioneers of the film industry, noted for their invention of the Cinématographe and for holding the first public movie screening in 1895.