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A Level Accounting (9706)•9706/12/O/N/22
Question 27 from 9706/12/O/N/22

Explanation

Marginal Costing Profit Calculation Steps:

  • Calculate contribution per batch: 10sellingprice−10 selling price - 10sellingprice−4 variable cost = $6.
  • Total contribution for 6000 batches: 6000 × 6=6 = 6=36,000.
  • In marginal costing, profit = total contribution - total fixed costs.
  • Total fixed costs not provided, so numerical profit cannot be determined.

Not enough information.

Final answer: Not enough information.

Topic: Traditional costing methods

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