O-LevelAccountingAccounting procedures7707/12 · May/June 2025 · Q291 Mark

A manufacturer's work in progress at the start of the year was valued at $850. At the end of the year it was valued at $10200. What was the effect of this increase on the cost of production and the cost of sales? The options present effects on 'cost of production' and 'cost of sales'.

Adecrease, decrease

Bdecrease, increase

Cincrease, decrease

Dincrease, increase

✓ Correct answer

A: decrease, decrease

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Topic: Accounting procedures, O-Level Accounting (syllabus 7707). Multiple choice, 1 mark.
Source: O-Level Accounting, May/June 2025 Paper 1 Variant 2, question 29.

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