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A-LevelAccountingCosting for materials and labour9706/12 · May/June 2021 · Q241 Mark

The following information is provided about one unit of a product. $ selling price 100 contribution 40 profit 10 The selling price is expected to increase by $10. Costs are expected to remain unchanged. What will be the change in the contribution to sales ratio?

A3.64% decrease
B3.64% increase
C5.45% decrease
D5.45% increase

✓ Correct answer

D: 5.45% increase

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About this question

Topic
Costing for materials and labour, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, May/June 2021 Paper 1 Variant 2, question 24.

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