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A-LevelAccountingMarginal costingOct/Nov 2023Paper 1 Q291 Mark

The following information relates to a manufacturing business. production for the period 2400 units closing inventory 400 units direct material costs $12000 direct labour costs $6000 factory fixed expenses $4080 There was no opening inventory. Closing inventory is valued using marginal costing. What is the marginal cost per unit of the finished goods?

A$7.50
B$9.00
C$9.20
D$11.04

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The correct answer is A. This question tests the candidate's understanding of marginal costing within the Accountingsyllabus. The examiner's mark scheme requires...

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Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

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About This A-Level Accounting Question

This multiple-choice question appeared in the Cambridge A-Level Accounting (9706) Oct/Nov 2023 examination, Paper 1 Variant 2. It tests the topic of Marginal costing and is worth 1 mark.

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