A Level Business AQA - Unit 1 and 2 MCQs

The Formula for Market capitalisation is?

• Share price x number of shares issued
• Capital employed x number of shares outstanding
• Revenue x number of shares issued
• Price x quantity

Which of these IS NOT a form of Business?

• Public Limited Company
• Sole Trader
• Limited Company
• Sole Company

Which of these factors that influence share price is not within the company’s control?

• Financial performance (e.g. profit growth)
• Dividend policy
• Relationship with key investors (incl. communication)
• State of the economy

Which of these factors that influence share price is within the company’s control?

• General market sentiment
• Whether the company is a takeover target
• Management reputation
• Alternative investments in the company’s sector

In Blake Mouton Managerial Grid what managerial style has a low concern for productivity and high concern for people?

• Paternalistic
• Produce or Perish
• Team Management
• Country Club

Functional objectives are set...

• for each major business function
• by the corporate objective
• by middle management
• by staff

"The process of creating value by transforming the inputs into business activity so that the value of what is created is greater than the costs involved" is known as what?

• Enterprise
• Limited Company
• Adding Value
• Market Capitalisation

Which of these IS NOT in the Pestle Analysis?

• Legal
• Product
• Ethical
• Enviromental

"A process whereby business opportunities are identified and exploited for commercial gain"?

• Adding Value
• Market Segmentation
• Enterprise
• Mark up

Which of these is not a benefit of issuing shares?

• Able to raise substantial funds if the business has good prospects
• Equity has a cost of capital that is higher than debt
• Broader base of shareholders
• Equity rather than debt = lower risk finance structure