BA Revision Session 5 - Business Fundamentals

An example of an internal change force is:

• customers revising buying habits

• a new competitor entering the market

• a general election

• problems in staff morale

At the start of a project, a cash flow problem is most likely to be caused by:

• allowing customers too much credit

• a high investment in the resources being required for the project

• holding too much stock

• employees demanding higher wages due to their increased responsibilities

What is profit?

• when prices increase, consumers buy less

• the expenses after all costs are paid

• the income that is left after all costs and expenses are paid

• borrowing money to run a business

Incremental change involves:

• developing and implementing a series of improvements over time

• replacing existing processes or systems in a one-off activity

• implementing an immediate shift in working culture

• reinforcing the rationale for improvements

The most appropriate definition of ‘niche marketing’ is targeting:

• a narrowly defined group of potential customers who are interested in a specialist product or service

• a broad range of consumers who are interested in specialist products or services

• consumers who are within a specific age range who are interested in a broad range of products or services

• a broad range of customers who regularly purchase expensive products

What are assets?

• a statement given to the organisation when goods have been returned

• the amount of money that is left over after an organisation has taken its expenses away from its income

• 
  money that the organisation owes

• resources that hold value to the organisation

Positive cash flow is when:

• purchases through petty cash are documented accurately

• income from sales exceeds outgoing expenses of the organisation

• a creditor lends money to an organisation to purchase stock

• the level of revenue received by an organisation increases month on month

What are the steps of a project lifecycle?

• planning, execution, change, delivery

• initiation, planning, execution, closure

• initial, project, change, outcome

• plan, strategy, quality, success

What is the purpose of a GANTT chart?

• To help guide project management activities

• An inventory management system making products available exactly when they're needed

• Ease communication between project teams and stakeholders

• A tool used to schedule, organise, estimate and coordinate tasks within a project

An employee’s net pay is:

• the amount of variable deductions, such as tax and National Insurance

• the amount of tax paid to HMRC

• the total amount of take-home pay after deductions

• the full pay before tax