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A-LevelAccountingRatio AnalysisOct/Nov 2025Paper 1 Q211 Mark

The following details have been extracted from the financial statements of a limited company. statement of profit or loss for the year profit from operations $59 800 finance costs $12000 profit for the year $47 800 statement of financial position at the year end equity ordinary share capital $700000 retained earnings $72500 total equity $772 500 non-current liabilities 10% debentures $120000 What was the return on capital employed?

A5.36%
B6.19%
C6.70%
D7.74%

✓ Correct Answer

The correct answer is C. This question tests the candidate's understanding of ratio analysis 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 2025 examination, Paper 1 Variant 2. It tests the topic of Ratio Analysis and is worth 1 mark.

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