Accounting Multiple Choice Question – 17 December 2021

What is the result when you have an under-absorption of fixed overhead?

Select ONE answer:

1. absorption based on actual expenditure and actual activity
2. activity above budget
3. activity below budget
4. expenditure below budget

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

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

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

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

This work is licensed under a Creative Commons Attribution 4.0 International License.