Accounting 9706/43 Oct Nov 2023 | Cambridge AS Level Past Papers With Mark Scheme

1. Flexible budget preparation, including adjustments for varying activity levels and profit reconciliation with actual outcomes.

2. Calculation and analysis of variances: sales price, sales volume, fixed overhead expenditure, and fixed overhead volume.

3. Supplier selection based on material usage and price, supported by calculations to determine cost-effectiveness.

4. Net cash flow determination and net present value (NPV) analysis for investment decisions, comparing different machine models.

5. Financial impact of production capacity improvements, evaluating additional costs versus increased unit output.

6. Recommendation on capital investment strategies, balancing NPV results, cost of capital, and operational enhancements.