A-LevelAccountingManagement Accounting (Absorption vs Marginal Costing)May/June 2017Paper 1 Q291 Mark
A company's profits using marginal costing and absorption costing principles were identical. Which statement is true about the company's production units?
Athey were greater than break-even units
Bthey were greater than the sales units
Cthey were the same as the break-even units
Dthey were the same as the sales units
✓ Correct Answer
The correct answer is D. This question tests the candidate's understanding of management accounting (absorption vs marginal costing) 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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