Please write clearly in block capitals.
Centre Candidate number
number
Surname
Forename(s)
Candidate signature
I declare this is my own work.
A-level
ACCOUNTING
Paper 2 Accounting for analysis and decision-making
Time allowed: 3 hours
Materials
For Examiner’s Use
For this paper you must have:
• a calculator. Question Mark
A
Instructions
• Use black ink or black ball-point pen. B
• Fill in the boxes at the top of this page. C
• Answer all questions. TOTAL
• You must answer the questions in the spaces provided. Do not write
outside the box around each page or on blank pages.
• If you need extra space for your answer(s), use the lined pages at
the end of this book. Write the question number against your answer(s).
• Do all rough work in this answer book. Cross through any work you
do not want to be marked.
Information
• The marks for each question are shown in brackets.
• The maximum mark for this paper is 120.
*Jun217127201*
IB/G/Jun21/E7 7127/2
, 2
Do not write
outside the
Section A box
Answer all questions in this section.
Only one answer per question is allowed.
For each answer completely fill in the circle alongside the appropriate answer.
CORRECT METHOD WRONG METHODS
If you want to change your answer you must cross out your original answer as shown.
If you wish to return to an answer previously crossed out, ring the answer you now wish to
select as shown.
0 1 A manufacturer employs one factory supervisor for every five factory workers.
Which best describes the cost of the factory supervisors’ salaries?
[1 mark]
A Direct and stepped fixed
B Direct and variable
C Indirect and stepped fixed
D Indirect and variable
0 2 Which is the correct formula to calculate the current ratio?
[1 mark]
Current assets
A
Current liabilities
Current assets – inventory
B
Current liabilities
Current assets
C × 365
Current liabilities
Current assets – inventory
D × 365
Current liabilities
*02*
IB/G/Jun21/7127/2
, 3
Do not write
outside the
0 3 Which of the following is an advantage of zero-based budgeting? box
[1 mark]
A Budgets are quick to prepare
B It encourages managers to work together
C Inexpensive to operate
D Minimal planning required
0 4 A manufacturer requires 9 000 labour hours and 3 000 kg of material to produce
450 units of product L and 300 units of product M. It expects to have 7 500 labour
hours and 3 500 kg of material available.
Which product should it produce first?
[1 mark]
A The product with the highest contribution per kg of material.
B The product with the highest contribution per labour hour.
C The product with the highest contribution per unit.
D The product with the highest profit per unit.
0 5 The following information is available for the sale of product D for April 2021.
Budgeted sales 3 100 units
Actual sales 2 950 units
Budgeted sales revenue £20 460
Actual sales revenue £19 765
What is the sales volume variance?
[1 mark]
A £695 Adverse
B £695 Favourable
C £990 Adverse
D £990 Favourable
Turn over ►
*03*
IB/G/Jun21/7127/2
, 4
Do not write
outside the
0 6 Which is the correct formula to calculate the rate of inventory turnover in days? box
[1 mark]
Average inventory
A × 365
Cost of sales
Average inventory
B × 365
Revenue
Cost of sales
C × 365
Average inventory
Revenue
D × 365
Average inventory
0 7 The following information is available for product K for May 2021.
Standard material usage per unit 1.5 kg
Standard material cost per kg £9.00
Actual production 4 500 units
Material usage variance £900 adverse
How many kg of material were used in May 2021?
[1 mark]
A 6 650
B 6 750
C 6 850
D 7 650
*04*
IB/G/Jun21/7127/2
Centre Candidate number
number
Surname
Forename(s)
Candidate signature
I declare this is my own work.
A-level
ACCOUNTING
Paper 2 Accounting for analysis and decision-making
Time allowed: 3 hours
Materials
For Examiner’s Use
For this paper you must have:
• a calculator. Question Mark
A
Instructions
• Use black ink or black ball-point pen. B
• Fill in the boxes at the top of this page. C
• Answer all questions. TOTAL
• You must answer the questions in the spaces provided. Do not write
outside the box around each page or on blank pages.
• If you need extra space for your answer(s), use the lined pages at
the end of this book. Write the question number against your answer(s).
• Do all rough work in this answer book. Cross through any work you
do not want to be marked.
Information
• The marks for each question are shown in brackets.
• The maximum mark for this paper is 120.
*Jun217127201*
IB/G/Jun21/E7 7127/2
, 2
Do not write
outside the
Section A box
Answer all questions in this section.
Only one answer per question is allowed.
For each answer completely fill in the circle alongside the appropriate answer.
CORRECT METHOD WRONG METHODS
If you want to change your answer you must cross out your original answer as shown.
If you wish to return to an answer previously crossed out, ring the answer you now wish to
select as shown.
0 1 A manufacturer employs one factory supervisor for every five factory workers.
Which best describes the cost of the factory supervisors’ salaries?
[1 mark]
A Direct and stepped fixed
B Direct and variable
C Indirect and stepped fixed
D Indirect and variable
0 2 Which is the correct formula to calculate the current ratio?
[1 mark]
Current assets
A
Current liabilities
Current assets – inventory
B
Current liabilities
Current assets
C × 365
Current liabilities
Current assets – inventory
D × 365
Current liabilities
*02*
IB/G/Jun21/7127/2
, 3
Do not write
outside the
0 3 Which of the following is an advantage of zero-based budgeting? box
[1 mark]
A Budgets are quick to prepare
B It encourages managers to work together
C Inexpensive to operate
D Minimal planning required
0 4 A manufacturer requires 9 000 labour hours and 3 000 kg of material to produce
450 units of product L and 300 units of product M. It expects to have 7 500 labour
hours and 3 500 kg of material available.
Which product should it produce first?
[1 mark]
A The product with the highest contribution per kg of material.
B The product with the highest contribution per labour hour.
C The product with the highest contribution per unit.
D The product with the highest profit per unit.
0 5 The following information is available for the sale of product D for April 2021.
Budgeted sales 3 100 units
Actual sales 2 950 units
Budgeted sales revenue £20 460
Actual sales revenue £19 765
What is the sales volume variance?
[1 mark]
A £695 Adverse
B £695 Favourable
C £990 Adverse
D £990 Favourable
Turn over ►
*03*
IB/G/Jun21/7127/2
, 4
Do not write
outside the
0 6 Which is the correct formula to calculate the rate of inventory turnover in days? box
[1 mark]
Average inventory
A × 365
Cost of sales
Average inventory
B × 365
Revenue
Cost of sales
C × 365
Average inventory
Revenue
D × 365
Average inventory
0 7 The following information is available for product K for May 2021.
Standard material usage per unit 1.5 kg
Standard material cost per kg £9.00
Actual production 4 500 units
Material usage variance £900 adverse
How many kg of material were used in May 2021?
[1 mark]
A 6 650
B 6 750
C 6 850
D 7 650
*04*
IB/G/Jun21/7127/2
