Author: stuart001uk2014

Which one of these actions would be MOST likely to improve contribution per unit?

Select ONE answer:

1. Lower raw materials costs
2. Higher marketing spending
3. Higher discounts offered to customers
4. Lower rent costs

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 1

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

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

Which of the following best describes a fixed cost?

Select ONE answer:

1. A cost which has a direct relationship with output
2. A fixed proportion of total costs
3. A cost which remains constant irrespective of output
4. A cost which decreases proportionately with output

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.

Which of these formulae defines the point at which breakeven output is achieved?

Select ONE answer:

1. Total Costs = Total Contribution
2. Total Revenue = Total Price
3. Total Profit = Total Costs
4. Total Revenue = Total Costs

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 4

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

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

Which of the following would NOT be an example of a cash inflow?

Select ONE answer:

1. Capital introduced
2. Sale of assets
3. Bank interest received
4. Discounts allowed

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 4

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

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

A reduction in the quantity or value of inventories held would normally?

Select ONE answer:

1. Improve cash flow
2. Worsen cash flow
3. Increase operating profit
4. Reduce fixed costs

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 1

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

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