Cost information — common mistakes

In case studies, list costs from the text in a table (Cost | Fixed/Variable | $ amount) before any calculation. Examiners reward clear classification even when the final number is wrong.

No. Salaried staff are usually fixed in the short run; piece-rate or hourly casual workers paid only when producing are variable. Read the case carefully.

A cost with both fixed and variable elements (e.g. phone bill with line rental + call charges). Examiners may ask you to split or treat as one category if told.