Y10 Revision for CA2.2

When a business has made enough money to pay its costs and begin to make a profit, it has reached its

• break-even point
• variable-cost margin
• fixed cost
• selling price

Some business costs are classified as fixed costs because they

• must be paid within a set time
• don't change when sales go up or down
• are unpredictable and must be estimated
• cost all businesses the same amount

What does break even point show?

• where a business is neither making a profit or loss
• how many items to make
• how much profit they're making
• where a business has more fixed costs than variable

What is the formula for contribution?

• cost price - selling price

• fixed costs - variable costs

• selling price - variable cost

• selling price - cost price

Which of these is NOT a category in Maslow's hierarchy of needs?

• Social

• Travel

• Esteem

• Safety

Isaac feels like his hard work is never recognised. Which level of needs (Maslow) is not being satisfied?

• Self-Esteem

• Social

• Self-Actualisation

• Physiological

People work hard for all of the following reasons except

• earning money.
• having social contact
• gaining recognition
• watching TV

One disadvantage of the piece rate system of wages is that:

• workers have to fill in detailed time sheets
• high output is discouraged as workers will receive more pay
• quality may be a problem if workers work too fast
• little time is wasted by workers

Which of the following is an example of a fringe benefit?

• Higher pay
• Free Meals at the canteen
• Annual bonus
•  Commission

What factor(s) determine economies of scale?

• increase in labour efficiency

• a firm can buy raw materials at a cheaper rate

• technological improvements

• average cost increase as firm's become bigger