Figure 1 a Company Usually Processes 20,000 Orders at a Total

question 85

Multiple Choice

Figure 1 A company usually processes 20,000 orders at a total cost of £300,000. During the year, only 16,000 orders were processed.
Refer to Figure 1. What is the cost of unused activity?

• A) £300,000
• B) £240,000
• C) £30
• D) £60,000

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Definitions:

Venture Capitalists

Investors who provide capital to start-up companies and small businesses with perceived long-term growth potential.

Pension Funds

Pooled monetary contributions from different individuals or entities to invest in securities, designed to generate future retirement income for participants.

Long-Term Investors

Individuals or entities that hold investments for an extended period, typically with the aim of achieving long-term objectives.

Exit Strategy

An exit strategy is a planned approach to withdraw from a business, investment, or situation to secure profit or minimize loss.