Accounting Multiple Choice Question – 4 August 2022

‘Contribution’ is an important feature of marginal costing.

How can the total contribution from a given activity be calculated?

Select ONE answer:

1. total assets plus total fixed costs
2. total sales minus total profit
3. total fixed costs plus total profit
4. total direct costs minus total profit

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

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