Accounting 9706 · AS & A Level · Costs and cost behaviour

Costs and cost behaviour — practice question

A business’s output is restricted because there is a shortage of direct material. What needs to be calculated in order to draw up the most profitable production plan?

  • Acontribution per unit of limiting factor
  • Bcontribution per unit of production
  • Cprofit per unit of limiting factor
  • Dprofit per unit of production

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