A-LevelAccountingMarginal Costing / Break-even AnalysisMay/June 2011Paper 1 Q231 Mark
A business sells its product for $50 a unit and has variable costs of $30 per unit. Its fixed costs for this year were $200 000. Next year, fixed costs are expected to be $260 000. How many more units will have to be sold next year to make the same profit as this year?
A3000
B5200
C10 000
D13 000
✓ Correct Answer
The correct answer is A. This question tests the candidate's understanding of marginal costing / break-even 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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