A-LevelAccountingTraditional costing methods9706/12 · Oct/Nov 2016 · Q271 Mark

The following information was provided about a product. selling price per unit $50 variable cost per unit $26 total fixed costs $10000 demand 1800 units If the selling price increases only demand changes. When the selling price increased by $4 profit fell by $1200. What was the decrease in demand?

A214 units

B300 units

C571 units

D657 units

✓ Correct answer

B: 300 units

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Topic: Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Oct/Nov 2016 Paper 1 Variant 2, question 27.

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