Y9 GCSE Business Assessment

Which one of the following are the most likely advantages of starting a new business as a franchise?

• Training and support are provided

• Ability to offer a different service

• Can buy goods to sell from any supplier

• Can pay staff lower wages

Which one of the following questions would an entrepreneur ask to find out if there would be enough customers for a new business idea?

• What if fixed costs increase in the first six months?

• What type of promotion should I use?

• How many people live in the area?

• How much should I spend on advertising?

Which one of the following is the best definition of a stakeholder?

• The shareholders of a limited company who receive dividend payments

• Any individual or group with an interest in the success of a business

• Anyone who works within a business

• A person or group that is able to influence the decisions of a business

Which one of the following is an example of a fixed cost for a biscuit manufacturer?

• Sugar used in production

• Rent if the business premises

• Packaging used with the biscuits

• Chocolate chips used in each biscuit

Steve is a painter. He estimates that his variable costs are £75 a day and his fixed costs are £1500 each month. What are his total costs if he works 15 in March?

• £1125

• £2500

• £2625

• £3000

Which one of the following is the most important feature of enterprise?

• Poor planning

• A willingness to take risks

• Gaining qualifications

• Employing people

Which one of the following is an example of long-term I finance for a sole trader?

• Share capital

• Overdraft

• Bank loan

• Trade credit

A business decides that it unwilling increase the wages of its lowest paid workers from £6.70 an hour to £7.50. Which stakeholder groups are most likely to be in conflict with each other as a result of this decision?

• Shareholders and local residents

• Customers and competitors

• Suppliers and local residents

• Shareholders and workers

A UK manufacturing business decides to buy its raw materials from a German company and not from its usual UK supplier. Which stakeholder groups are most likely to be in conflict with each other as a result of this decision?

• Shareholders and local residents

• Customers and competitors

• Suppliers and managers

• Shareholders and managers

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

• Generating wealth

• Personal satisfaction

• Maximising profit

• Regular income