Y11 1.4 Assessment - Part 1 (short answers)

Which of the following statements is true about business plans? [1]

• Every business that produces a business plan will be successful

• Producing a business plan can help an entrepreneur secure finance from a bank

• Business plans are always fully accurate

• Once produced, business plans should be rarely referred to by the business owner

Which two of the following are features of a private limited company? [2]

• It has unlimited liability

• Its shares can be sold to the general public

• Shareholders own the business

• Accounts are kept fully private

• The business exists in its own right and has a separate legal identity

A new business start-up has produced a business plan and estimates that its profit in March will equal £500. Its total costs are expected to amount to 45% of its profit. Calculate the business’s forecast revenue for March. You are advised to show your workings. [2]

Explain one benefit to an entrepreneur of choosing to operate as a franchise. [3]

Explain one impact changing technology has on the marketing mix of a small business. [3]

Outline one impact on Alan of his choice of location for his bicycle hire business. [2] - click on image to make it larger

Alan records his total customer numbers electronically at the end of each day. Table 1 shows the number of customers that chose his most popular full day bicycle hire service on 1st August.

Using Table 1 and Figure 2, calculate the revenue generated for the full day bicycle hire service for 1st August. You are advised to show your workings. [2] - click on image to make it larger