GCSE Edexcel Business Theme 1 Round Up D

If a business sells 13,600 units in a year, has fixed cost of £11,100, variable costs per unit of £11, and a selling price of £15 per unit. Has it made a profit or a loss?

• £54,400 profit

• £160,700 loss

• £204,000 profit

• £43,300 profit

Once a business has decided on its objectives, it will then set a series of aims to support the achievement of each objective.

• True

• False

Which two are long-term sources of finance?

• Trade credit

• Retained profits

• Share capital

• Overdraft

Raw materials and electricity are examples of?

• Fixed costs

• Variable costs

• Total costs

The cost of any employee training which must be conducted by law is typically paid for by?

• The government

• The owners of the business

• The managers of the business

• The employees undertaking the training

Changing the selling price of a product won't have any impact on the number of units which are required to be sold to break even.

• True

• False

Identify the two financial aims.

• Social

• Survival

• Challenge

• Sales

When the rate of inflation decreases, consumers are most likely to spend (a)   .

• More

• The same

• Less

Advertising on social media would come under which of the 4Ps of the marketing mix?

• Product

• Price

• Place

• Promotion

If a business sells 4,200 units in a year, has fixed costs of £12,500 and variable costs per unit of £3. What are its total costs?

• £21,500

• £12,500

• £25,100

• £52,100