Business Studies Multiple Choice Question – 5 December 2020

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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A factory produces 120 units with a workforce of 10 employees. The number of employees stays the same but output increases by 20% and costs of production increase by 25%. This means that?

Select ONE answer:

  1. labour productivity rises and unit costs rise
  2. labour productivity rises and unit costs fall
  3. labour productivity falls and unit costs rise
  4. labour productivity falls and unit costs fall

Show the workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Business Studies KS4 & KS3 classes

The answer is 1

  1. Correct
  2. Not correct
  3. Not correct
  4. Not correct

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