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A-LevelAccountingTraditional costing methods9706/12 · Feb/Mar 2024 · Q281 Mark

Which changes result in a decrease in the margin of safety?

Aunit variable cost: decrease, total fixed costs: decrease
Bunit variable cost: decrease, total fixed costs: increase
Cunit variable cost: increase, total fixed costs: decrease
Dunit variable cost: increase, total fixed costs: increase

✓ Correct answer

D: unit variable cost: increase, total fixed costs: increase

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About this question

Topic
Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Feb/Mar 2024 Paper 1 Variant 2, question 28.

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