A-Level Business Practice

Front

A business’s mission statement should primarily:

Back

Describe its purpose and core values

Front

A business operating in a highly competitive market is most likely to prioritize: Cost minimization, Brand loyalty exclusively, Reducing customer service to save costs, Expanding into unrelated industries

Back

Cost minimization

Front

Which of the following is an example of a non-financial business objective?

• Achieving a 15% net profit margin
• Increasing market share by 10%
• Enhancing employee well-being
• Maintaining a current ratio above 2:1

Back

Enhancing employee well-being

Front

In decision-making, how is the expected value of an option in a decision tree calculated?

Back

(Probability × Expected Outcome)

Front

Which leadership style aligns best with Herzberg’s motivation theory? Options: Autocratic, Paternalistic, Democratic, Laissez-faire

Back

Democratic

Front

A company with inelastic demand for its product would expect:

Back

Revenue to increase when price increases

Front

Market share is calculated using which formula?

Back

(Sales revenue / Total industry revenue) × 100

Front

If a firm’s sales revenue is £500,000 and the industry’s total revenue is £2,000,000, its market share is:

Back

25%

Front

Capacity utilization is calculated as:

Back

(Current output / Maximum possible output) × 100

Front

If a factory is currently producing 2,500 units per month and its maximum capacity is 5,000 units, its capacity utilization is:

Back

50%