Category: Accounting

The table shows opening and closing balances for the Rent Receivable account.

During the year, £111 000 rental income was received.

What is the total rent receivable for the year? 

Select ONE answer:

1. £110,600
2. £111,000
3. £112,800
4. £114,000

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 4

1. Not correct
2. Not correct
3. Not correct
4. Correct – £111,000 + £4,200 – £1,600 – £2,000 + £2,400

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

The information relates to a product. 

What are the variable unit costs? 

Select ONE answer:

1. £2.00
2. £2.50
3. £4.00
4. £6.00

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 – £6,000 / £4 = £1,500 * £10 = £15,000

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

What does the diagram show?

Select ONE answer:

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

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.

What will result in under-absorption of fixed production overhead? 

Select ONE answer:

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

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.

The following information is available for a business.

What is the fixed cost?

Select ONE answer:

1. £1,600
2. £4,000
3. £5,200
4. £5,600

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 – £21,200 – £5,200 = £16,000 / 100 units = £160 vc per unit
4. Not correct

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