Examination Answer Book – ACC100321N

Examination Answer Book – ACC100321N
Examination Module Number Total number of answer
books submitted
Module Title (as on Examination Paper) Total number of
questions attempted
Student Number Date:
/ /
For Examiner’s Use Only
Question Marks
Examiner Assessor
Instructions to Students
1. Enter the details required on this cover. Do not write in
the shaded section.
2. All calculations and rough work must be done in this
book. Cross through any rough work you do not wish
the examiner to mark.
3. All calculations and rough work must be done in this
book. Cross through any rough work you do not wish
the examiner to mark.
4. In the first column to the right, circle the question
number attempted in the book.
5. If additional books are used, write your student number
and examination paper number on each book and
secure together with the treasury tag provided.
6. Please indicate number of answer books used and
number of questions attempted in this examination in
the appropriate boxes above.
7. Students must not destroy or remove from the
examination venue any books or additional sheets. For
all purposes they remain the property of The University
of Northampton.
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Total
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Examiner’s signature
Page 1 of 10

1a
1b
Dropping sales of
Summercoat
£
Contribution from Hoodcoat 48750
Contribution from Raincoat 43750
Contribution from Wintercoat 53750
Total contribution 146250
Minus Fixed Costs 26250
Profit 120000
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£ £ £ £ £
Hoodcoat
Summer
coat
Rain
Coat
Winter
coat Total
Total costs 50,000 35,000 45,000 50,000 180,000
Variable costs 41250 26250 36250 41250 145000
Fixed Costs 8750 8750 8750 8750 35,000
Sales 90,000 29,000 80,000 95,000 294,000
Minus Variable Costs 41250 26250 36250 41250 145000
Contribution 48750 2750 43750 53750 149000
Minus Fixed Costs 35000
Profit 114000

1c
Yes it must be dropped from production as it is not even able to cover its fixed cost and thus if it is continued it
can result in losses to the firm which is not at all a good position for the company. Also if it is dropped from the
production it can lessen the burden on other elements and thus they can produce good results in the future if
there is no such burden on them in the long run.
Page 3 of 10