A-LevelAccountingBudgeting and Budgetary ControlFeb/Mar 2016Paper 1 Q291 Mark
A business has the following budgeted and actual results for a period. $ budgeted fixed overheads 354 000 actual fixed overheads 360 000 under-absorption of overheads 3000 The fixed overheads are absorbed per unit. The budgeted number of units were 118000. What is the actual level of activity in units?
A118000
B119000
C120000
D121000
✓ Correct Answer
The correct answer is B. This question tests the candidate's understanding of budgeting and budgetary control within the Accountingsyllabus. The examiner's mark scheme requires...
📋 Examiner Report & Trap Analysis
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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