Business Year 12.

A corporate objective of survival is most likely to be set by:

• A long-established and profitable family business

• A profitable multinational company

• A high-profile start-up financed by substantial venture capital

• An established business now experiencing growing losses

What is the market capitalisation of a company with a share price of £1.75, dividends of 10p per share and 10 million shares in issue?

• £175 million

• £10 million

• £1 million

• £17.5 million

The external environment concerns features of the business environment that are:

• Within the control of a business

• Outside the control of a business

• Opportunities for a business

• Threats for a business

The following are all commonly used as corporate objectives EXCEPT which one?

• Return on investment

• Inventory turnover

• Market share

• Market capitalisation

The level of consumer demand in general is likely to be most directly affected by changes in:

• Wages and income tax

• Liverpool FC winning the leauge

• Technological and social change

• Interest rates and exchange rates

The term that describes the overall purpose of Harvey's business is:

• Mission

• Money

• More Money

• Objectives

Not-for-profit organisations are also commonly referred to as:

• PLC

• Public companies

• Social enterprises

• Public sector

Which of these statements about public limited companies (“PLC”) is true?

• A PLC doesn't have to offer its shares on a stock exchange

• Shareholders in a PLC do not have limited liability

• The general public may invest in any PLC if they wish to

• A PLC must have a minimum share capital of £1million

Which of these functional objectives would be consistent with a corporate objective to reduce costs?

• Increase average selling prices by 15%

• Increase unit costs by 10%

• Increase labour productivity by 20%

• Increase marketing budgets by 10%

What name is given to where a company lists its shares on a public stock exchange for the first time?

• Rights issue

• Independent public offering

• Flotation

• New share listing