• We need your support!

    We are currently struggling to cover the operational costs of Xtremepapers, as a result we might have to shut this website down. Please donate if we have helped you and help make a difference in other students' lives!
    Click here to Donate Now (View Announcement)

Accounting doubts & Queries

Messages
15
Reaction score
24
Points
1
Doubt in 3rd question part a and b and 1st question c part
Plzzz help......
 

Attachments

  • 9706_s07_qp_4.pdf
    106.7 KB · Views: 0
Messages
6,514
Reaction score
26,001
Points
698
23 A company is going to sell a surplus non-current asset.
Which term describes the net book value of the non-current asset in respect of the decision to
sell?
A a fixed cost
B a stepped cost
C a sunk cost
D a variable cost
answer is c how?
21 Arun wishes to invest in a business with a skilled workforce which will make a profit in each of the
next five years.
Which aspect of financial statements helps Arun to decide where to invest?
A Financial statements deal with past performance.
B Historic cost is based on objective figures.
C Non-monetary values are excluded.
D Provisions can be based on estimates.
answer is b how?
 
Messages
90
Reaction score
65
Points
28
I apologize of being so late due to the hectic schedule. This is all the theory you must know regarding As-Level in order to counter theoretical MCQs. Please go through the entire notes. Courtesy: Umar Mehsood.
 

Attachments

  • secret sauce 2.0 Aslevel .pdf
    487.5 KB · Views: 17
Messages
90
Reaction score
65
Points
28
View attachment 41066

over here ans is C what formula do i use? :(
1)Total Overhead= Variable overhead + Fixed overhead.
2) Variable Overhead= Variable overhead rate per hour mutliply by no. of labour hours.

So using the data of month May, Total overheads as 986000andLabourhoursas68000andvariablerateas986000 and Labour hours as 68000 and variable rate as 5
986000= 340000(68000 into 5) + Fixed cost.
Fixed cost= 986000- 340000= $646000.Ans
 
Top