Business 9609 · AS & A Level · Location and scale
Use Table 1 and the other information given. Calculate the probable change in NFP’s yearly profit if the dairy farm is closed.
Discuss whether NFP ought to close the dairy farm, using your answer from 2(a) and the other information given.
This 18-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Full costing method: total full cost per litre = 24 cents; purchasing milk costs 20 cents; weekly saving = 150,000 x $0.04 = $6,000; yearly saving = $6,000 x 52 = $312,000” …