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Normal profits, supernormal profits and losses: Edexcel A‑Level Economics A questions

Every Edexcel A-Level Economics A exam question on 3.3.4 Normal profits, supernormal profits and losses, 2016–2025, with its mark scheme and examiner’s report.

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784 questions

  1. Q7

    June 2025 · Paper 1

    25 marks1.3.2 Externalities3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2025 Paper 1, question 7: High Speed 2 (HS2) was a £100 billion UK government rail project designed to expand the existing network. The journey time between London and Manchester would t

  2. Q7

    June 2024 · Paper 1

    25 marks3.3.2 Costs3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2024 Paper 1, question 7: A small hotel in Scarborough has seen its energy bills increase from £2000 to £8000 per month. Small businesses do not have the energy management teams of large

  3. Q1(c)

    June 2023 · Paper 3

    12 marks3.3.2 Costs3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2023 Paper 3, question 1(c): Discuss the likely impact of a rise in gas prices on a firm that uses a large amount of gas in its production process. Use a cost and revenue diagram to support

  4. Q6(d)

    June 2022 · Paper 1

    12 marks3.3.4 Normal profits, supernormal profits and losses3.3.2 Costs
    The whole paper ↗
    June 2022 Paper 1, question 6(d): Using a cost and revenue diagram, discuss the likely impact of ‘rising costs’ for coffee shops on their profitability (Extract A, line 2). (12) Read Figures 1 a

  5. Q6(d)

    November 2021 · Paper 1

    12 marks3.3.4 Normal profits, supernormal profits and losses1.4.1 Government intervention in markets
    The whole paper ↗
    November 2021 Paper 1, question 6(d): With reference to Extract C, discuss the proposed government subsidy to prevent Thomas Cook from reaching its shut-down point. (12) Read Figures 1 and 2 and the

  6. Q2(c)

    November 2021 · Paper 3

    12 marks3.3.4 Normal profits, supernormal profits and losses3.3.2 Costs
    The whole paper ↗
    November 2021 Paper 3, question 2(c): Discuss the likely impact of investment in new technology on the profitability of firms in Germany, as described in Extract C line 20. Use a cost and revenue di

  7. Q2(c)

    October 2020 · Paper 3

    12 marks3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    October 2020 Paper 3, question 2(c): Discuss factors that are causing many high street retailers in the UK to close some branches or shut down completely. Use a cost and revenue diagram to support

  8. Q4(b)

    June 2019 · Paper 1

    4 marks3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2019 Paper 1, question 4(b): Calculate, using the information provided, the total costs of GoCompare in 2016. (4) 4 In 2016, the insurance group Esure undertook a demerger with its GoCompar

  9. Q6(d)

    June 2019 · Paper 1

    12 marks3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2019 Paper 1, question 6(d): Discuss one likely reason for the rise in BT’s profit (Figure 2, Extracts B and C). Use a cost and revenue diagram to support your answer. (12) Read Figures 1 a

  10. Q2(b)

    June 2018 · Paper 3

    8 marks3.3.4 Normal profits, supernormal profits and losses3.3.2 Costs
    The whole paper ↗
    June 2018 Paper 3, question 2(b): Examine the likely effects on the profitability of Indonesian rice farmers of the government’s increased investment in dams (Extract E, lines 43-48). Use a cost

  11. Q4(a)

    June 2017 · Paper 1

    4 marks3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2017 Paper 1, question 4(a): Draw a cost and revenue diagram to show the likely impact of a reduction in sales of construction equipment on JCB’s profits. (4) 4 In 2015 JCB, the constructio

  12. Q5(c)

    June 2017 · Paper 1

    2 marks3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2017 Paper 1, question 5(c): With reference to Figure 1, calculate the profit (in pence) for a cappuccino drink. You are advised to show your working. (2) 5 Figure 1 shows the distribution

  13. Q2(c)

    June 2017 · Paper 3

    12 marks3.5.3 Wage determination in competitive and non-competitive markets3.3.4 Normal profits, supernormal profits and losses
    The whole paper ↗
    June 2017 Paper 3, question 2(c): Discuss the likely impact of the National Living Wage on the profitability of firms. Use a cost and revenue diagram in your answer. (12) Read Figures 4 to 6 and
All 13 questions on Normal profits, supernormal profits and losses, as a list
  1. June 2025, Paper 1, Q7 (25 marks): High Speed 2 (HS2) was a £100 billion UK government rail project designed to expand the existing network. The journey time between London and Manchester would t
  2. June 2024, Paper 1, Q7 (25 marks): A small hotel in Scarborough has seen its energy bills increase from £2000 to £8000 per month. Small businesses do not have the energy management teams of large
  3. June 2023, Paper 3, Q1(c) (12 marks): Discuss the likely impact of a rise in gas prices on a firm that uses a large amount of gas in its production process. Use a cost and revenue diagram to support
  4. June 2022, Paper 1, Q6(d) (12 marks): Using a cost and revenue diagram, discuss the likely impact of ‘rising costs’ for coffee shops on their profitability (Extract A, line 2). (12) Read Figures 1 a
  5. November 2021, Paper 1, Q6(d) (12 marks): With reference to Extract C, discuss the proposed government subsidy to prevent Thomas Cook from reaching its shut-down point. (12) Read Figures 1 and 2 and the
  6. November 2021, Paper 3, Q2(c) (12 marks): Discuss the likely impact of investment in new technology on the profitability of firms in Germany, as described in Extract C line 20. Use a cost and revenue di
  7. October 2020, Paper 3, Q2(c) (12 marks): Discuss factors that are causing many high street retailers in the UK to close some branches or shut down completely. Use a cost and revenue diagram to support
  8. June 2019, Paper 1, Q4(b) (4 marks): Calculate, using the information provided, the total costs of GoCompare in 2016. (4) 4 In 2016, the insurance group Esure undertook a demerger with its GoCompar
  9. June 2019, Paper 1, Q6(d) (12 marks): Discuss one likely reason for the rise in BT’s profit (Figure 2, Extracts B and C). Use a cost and revenue diagram to support your answer. (12) Read Figures 1 a
  10. June 2018, Paper 3, Q2(b) (8 marks): Examine the likely effects on the profitability of Indonesian rice farmers of the government’s increased investment in dams (Extract E, lines 43-48). Use a cost
  11. June 2017, Paper 1, Q4(a) (4 marks): Draw a cost and revenue diagram to show the likely impact of a reduction in sales of construction equipment on JCB’s profits. (4) 4 In 2015 JCB, the constructio
  12. June 2017, Paper 1, Q5(c) (2 marks): With reference to Figure 1, calculate the profit (in pence) for a cappuccino drink. You are advised to show your working. (2) 5 Figure 1 shows the distribution
  13. June 2017, Paper 3, Q2(c) (12 marks): Discuss the likely impact of the National Living Wage on the profitability of firms. Use a cost and revenue diagram in your answer. (12) Read Figures 4 to 6 and

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