Finance, Accounting and Costing

If production increases substantially a business may need to buy a new machine to cope. What would this cost be called?

• Fixed cost

• Variable cost

• Stepped fixed cost

• Ad hoc fixed cost

Contribution per unit (CPU) =

• selling price - fixed cost per unit

• selling price - variable cost per unit

• selling price x variable cost per unit

Which of these is NOT a shareholder ratio?

• Dividend yield

• Earnings per share

• Return on Capital Employed

• Price earnings ratio

Break-even is calculated by:

• Total costs / CPU

• Fixed costs / CPU

• Variable costs / CPU

A card that borrows money but it has to be paid back

• Debit Card 
• Credit Card 
• Baseball Card 
• Pokemon Card 

An agreement between a borrower and a lender, where the borrower agrees to repay money with interest over time.

• Loan 
• Interest 
• Income 
• Deposit  

How many digits are in a bank account number?

• 4
• 6
• 8
• 16

Which source of finance is internal?

• Government Grant
• Retained Profits
• Bank Loan
• Overdraft

A ______ can issue shares on the stock exchange to raise finance

• PLC
• Ltd
• Sole Trader
• Franchise

Which of the following performance metrics is based, in part, on weighted average cost of capital?

• Return on investment

• Capital turnover

• Economic value added

• Residual Income