Which of the Following Contribute to the Variable Cost of Generating

question 3

Multiple Choice

Which of the following contribute to the variable cost of generating electricity from solar panels?
(i) Sunshine.
(ii) Price of coal.
(iii) Purchase cost of solar panels.
(iv) Maintenance expenses of panels.

• A) (i).
• B) (ii).
• C) (iii).
• D) (iv).
• E) (i) and (iv).

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Definitions:

Perpetual Inventory System

An approach to inventory management where inventory levels are updated in real-time following each sale or purchase.

Sales Return

Goods returned by the customer to the seller after the sale, leading to a reversal of revenue recorded.

Collection

Collection involves the process of gathering or receiving payments, funds, or necessary documents, especially in the context of business receivables or debts.

Perpetual Inventory System

Inventory accounting method where transactions are instantly recorded via computerized point-of-sale systems and enterprise asset management software.