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

Costs and cost behaviour — practice question

A business has supplied the following details for one product: unit contribution $6$ total fixed costs $16800$ It plans to raise the unit selling price from $18$ to $20$. What effect would this have on the break-even quantity?

  • Adecrease by $700$ units
  • Bincrease by $700$ units
  • Cdecrease by $1400$ units
  • Dincrease by $1400$ units

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI