A physiotherapy clinic provides 12,000 appointments a year and currently has annual total costs of £284,000. New booking software would cost £10,000 a year but reduce variable administration costs by £1.50 per appointment. The number of appointments would remain unchanged. What is the clinic's annual total cost after introducing the software?
£266,000
£294,000
£292,000
£276,000
138 exam-style questions on AQA GCSE Economics 1.4 Production, costs, revenue and profit, covering 1.4.1a Business objectives, 1.4.1b Types of costs and revenue, 1.4.1c Calculating profit, 1.4.1d Profit as an incentive to produce, 1.4.1e Moral and ethical considerations, 1.4.2a Production versus productivity, 1.4.2b Factors and benefits of productivity, 1.4.3a Economies of scale and business behaviour, 1.4.3b Types of economy of scale, and 1.4.3c Diseconomies of scale. Each one has a worked solution and a mark scheme showing where the marks go.