Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

Economics Multiple Choice Question – 27 March 2022

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

Photo by Kelly Lacy on Pexels.com

The demand for a product is inversely related to its price, ceteris paribus.

What does ceteris paribus mean in this context?

Select ONE answer:

  1. Factors affecting demand other than price are held constant.
  2. Factors affecting price other than demand are held constant.
  3. Price changes result from changes in demand.
  4. Price falls result in increased quantity demanded.

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

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

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 1

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

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

Accounting Multiple Choice Question – 26 March 2022

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

apple devices books business coffee
Photo by Serpstat on Pexels.com

Which statements describe the advantages to a business of using a budgetary control system?

  1. Budget holders are accountable for controllable costs.
  2. Costs are controlled by comparing their actual and budgeted levels.
  3. The budget holders’ performance is measured on the quality of their output.

Select ONE answer:

  1. 1 and 2
  2. 1 only
  3. 2 and 3
  4. 2 only

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

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

Accounting Multiple Choice Question – 25 March 2022

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

apple devices books business coffee
Photo by Serpstat on Pexels.com

A company has fixed costs of £8,000, which will only increase when production exceeds 40,000 units.

It makes and sells 20,000 units of a single product.

Each unit has a selling price of £10 and has a contribution to sales ratio of 40%.

By how much does the profit increase if it makes and sells 30,000 units?

Select ONE answer:

  1. £32,000
  2. £40,000
  3. £92,000
  4. £120,000

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 2

  1. Not correct
  2. Correct – £10 @ 40% = £4 * 10,000 units ===> £40,000
  3. Not correct
  4. Not correct

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

Accounting Multiple Choice Question – 24 March 2022

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

apple devices books business coffee
Photo by Serpstat on Pexels.com

A business provided the following information per unit about a product.

  • selling price – £20.00
  • variable cost – £12.50
  • fixed cost – £3.50

What is the contribution to sales ratio?

Select ONE answer:

  1. 20%
  2. 37.5%
  3. 62.5%
  4. 80%

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 2

  1. Not correct
  2. Correct – £20 – £12.50 = £7.5 / £20 ==> 37.5%
  3. Not correct
  4. Not correct

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

Accounting Multiple Choice Question – 23 March 2022

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

apple devices books business coffee
Photo by Serpstat on Pexels.com

A manufacturer has limited labour hours available to produce three types of products.

Which factor should be considered in order to maximise the profit?

Select ONE answer:

  1. break-even of each product
  2. profit per unit of each product
  3. contribution per unit of each product
  4. contribution per labour hour of each product

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

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