Financial Performance Analysis (AQA A-Level Business): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What is the formula for calculating contribution?
What is the formula for calculating contribution?
Sales revenue - Variable costs
How do you calculate contribution per unit?
How do you calculate contribution per unit?
Sales price per unit - Variable cost/unit
If a product sells for £15 and variable cost is £9, what is contribution per unit?
If a product sells for £15 and variable cost is £9, what is contribution per unit?
£6
What is the formula for breakeven output?
What is the formula for breakeven output?
Fixed costs ÷ Contribution per unit
With fixed costs of £12,000 and contribution per unit of £6, what is breakeven output?
With fixed costs of £12,000 and contribution per unit of £6, what is breakeven output?
2,000 units
At the breakeven point, what is the relationship between contribution and fixed costs?
At the breakeven point, what is the relationship between contribution and fixed costs?
Contribution exactly equals fixed costs
Which of these is an example of a fixed cost?
Which of these is an example of a fixed cost?
Rent
How do you calculate profit using contribution?
How do you calculate profit using contribution?
Total contribution - Fixed costs
What does contribution contribute towards first?
What does contribution contribute towards first?
Covering fixed costs
Above breakeven, how much profit does each additional unit add?
Above breakeven, how much profit does each additional unit add?
The full contribution per unit amount