A-LevelAccountingBudgeting and Decision MakingMay/June 2021Paper 1 Q271 Mark
A business manufactures three products. The following information was provided. per unit X $ Y $ Z $ selling price 450 350 400 direct material 160 100 150 direct labour 115 95 190 contribution 175 155 60 fixed overheads 135 110 10 profit 40 45 50 Direct labour is in short supply. All direct labour is paid at the same hourly rate. Which order of production should be used to maximise the profit?
AX→Z→Y
BX→Y→Z
CY→X→Z
DZ→Y→X
✓ Correct Answer
The correct answer is C. This question tests the candidate's understanding of budgeting and decision making 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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