A-LevelAccountingTraditional costing methods9706/12 · Oct/Nov 2025 · Q231 Mark

W Limited is unsure whether to use marginal costing or absorption costing. Which row is correct? charges overheads to expenses rather than to products gives higher profits when inventory levels are increasing A absorption absorption B absorption marginal C marginal absorption D marginal marginal

Aabsorption, absorption

Babsorption, marginal

Cmarginal, absorption

Dmarginal, marginal

✓ Correct answer

C: marginal, absorption

Oracle Prep sorts past-paper questions by topic, so you can drill Traditional costing methods and see which topics are most likely to come up next.

Topic: Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Oct/Nov 2025 Paper 1 Variant 2, question 23.

Questions and mark schemes are from past examination papers and remain the copyright of the exam board. How Oracle Prep builds its content