Economics, Accounting & Business: Post your doubts here!

[wajiman]

but why will gross profit decrease if the volume of sales is more??

as i said expenses would increase that are variable expenses. more purchases will be made etc..

 

[shanky631]

as i said expenses would increase that are variable expenses. more purchases will be made etc..

but so will the revenue. and what about lower production costs due to economies of scale.

 

[wajiman]

but so will the revenue. and what about lower production costs due to economies of scale.

yes the revenue would increase so would the expenses and so Gross Profit would fall comparatively and yes i was wrong net profit would increase too due to economies of scale

 

[Mohammad Taymur]

but why will gross profit decrease if the volume of sales is more??

When a business increases production, the cost of production for each unit will rise after a certain point since the company has limited resources. This will eventually reduce the gross profit margin.

Costs of goods sold include all variable costs that go into acquiring, making and selling products

 

[Mohammed Hassan]

Guys, plz help... I need mark scheme paper 1 accounting for may and nov 2002 plz

 

[Mad Gal]

http://www.xtremepapers.com/papers/CIE/Cambridge International A and AS Level/Accounting (9706)/9706_w11_qp_11.pdf
Que 4 - i dont know why am not getting B
HELP PLEASE!

 

[Mohammed Hassan]

http://www.xtremepapers.com/papers/CIE/Cambridge International A and AS Level/Accounting (9706)/9706_w11_qp_11.pdf
Que 4 - i dont know why am not getting B
HELP PLEASE!

well multiply the debtors by the rate ( 16000 * 5% = 800 ) take the 800 and minus it from the 640 ( 800-640 = 160 ) 160 is expense as the provision maintained increased.
Hope that was helpful

 

[Saad Ghori]

Guys, plz help... I need mark scheme paper 1 accounting for may and nov 2002 plz

Xtremepapers does have the examiner report for nov 2002. You can find the answers to mcqs in it

 

[Mohammed Hassan]

Xtremepapers does have the examiner report for nov 2002. You can find the answers to mcqs in it

Thnx appreciate that

 

[Mad Gal]

well multiply the debtors by the rate ( 16000 * 5% = 800 ) take the 800 and minus it from the 640 ( 800-640 = 160 ) 160 is expense as the provision maintained increased.
Hope that was helpful

Yea, but why do you minus 640?? Whats the reason?!

 

[Mohammed Hassan]

Yea, but why do you minus 640?? Whats the reason?!

640 is the provision, and 800 is the new provision obtained, so there is an increase in the provision which is expense and so ( 800-640 = 160 ) debit

 

[Mad Gal]

640 is the provision, and 800 is the new provision obtained, so there is an increase in the provision which is expense and so ( 800-640 = 160 ) debit

OH MY GOD!!! How any blind can i get!!!!
i so ttly read it as bad debts THANKS FOR THE PINCH

 

[Mohammed Hassan]

OH MY GOD!!! How any blind can i get!!!!
i so ttly read it as bad debts THANKS FOR THE PINCH

LoooooooooooooL i thought that this happened to u too xP
Anytime

 

[parthrocks]

SORRY EVERYONE HAD PREVIOUSLY WRITTEN ONE STATEMNT SAYING BULK SELLING....ITS BULK BUYING....SRRY EVERYONE...HOPE U COULD UNDERSTAND....AND SET OFF IN MY UNDERSTANDING I MEANT TO SAY NULLIFIED EFFECT....


SO CAN ANYONE POST SOME REALLY TOUGH MCQ....SO THAT WE CAN SOLVE IT AND DISCUSS IT TOGETHER....OTHERS WILL BENEFIT TOO...

 

[Mohammed Hassan]

I know that it might be silly, but the exam time is 1 hour 30 mins for paper 2, i barely finish the exam at 1 hour 25 mins and i take time for making such accounting format etc.
what is the one acceptable in the exam??
plz help
thnx in advance

 

[parthrocks]

anyone who have doubtS???????plzzz share here so that we can discuss?

 

[shahz_h]

http://www.xtremepapers.com/papers/... AS Level/Accounting (9706)/9706_s09_qp_1.pdf
Could any1 solve my following doubts in this paper. The link is above:
q.6 ans is A
q.19 ans. is B
Thanx in advance!!

 

[parthrocks]

I know that it might be silly, but the exam time is 1 hour 30 mins for paper 2, i barely finish the exam at 1 hour 25 mins and i take time for making such accounting format etc.
what is the one acceptable in the exam??
plz help
thnx in advance

Hey bro its better to make the 1st format where everything is so easy to understand and proper spacing and lines and nice presentataion

 

[Mohammed Hassan]

Hey bro its better to make the 1st format where everything is so easy to understand and proper spacing and lines and nice presentataion

but it takes time :S and the second one may also be acceptable where much time is saved :S u see, i dont know what to use, in my IG, i used the first format, and took me time and space of the answer, my hand writing was too small to fit the boxes :S
its a big problem for me :S

 

[parthrocks]

but it takes time :S and the second one may also be acceptable where much time is saved :S u see, i dont know what to use, in my IG, i used the first format, and took me time and space of the answer, my hand writing was too small to fit the boxes :S
its a big problem for me :S

Ya i know~!!!!!!!~i think then u could use anyone bt preferably the first one!