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WorksheetsYR11 PPE NOV Insecure Areas
Total questions: 50
Worksheet time: 27mins
Which of the following best describes the term stakeholder? An individual or organisation that:
Owns part of a business
Provides a business with raw materials
Is affected by, or has an interest in, the activities of a business
Provides finance for a business
A high street coffee shop uses recyclable cups. The stakeholder objective being met is:
Minimising the time it takes to pay its suppliers
Maximising dividend payments for its owners
Minimising environmental impact on the local community
Maximising pay for employees
When a business pays another firm to carry out some of its tasks is known as...
E-Commerce
Outsourcing
Franchising
Takeover
Less than half of all takeovers and mergers are successful.
True - It is hard to make two different businesses work as one.
False - It allows businesses to grow quickly and reduce costs.
Select the two laws that businesses must follow?
Low Pay Act
Equality Act
Health & Safety at Work Act
Employee Act
Low interest rates means that...
Firms and consumers borrow more money and save less
Firms and consumers borrow less money and save more
Firms and consumers borrow more & save more
Firms and consumers borrow less & save less
A strong pound means...
Imports are more expensive and exports are cheaper
Imports are cheaper and exports are more expensive
A business has made a decision to become decentralised. What is the benefit of them doing this?
More profitable
Keeps decisions consistent
Authority is shared out
The CEO has a span of control of...
1
4
7
13
This image helps to explain the concept of...
Delayering
Chain of Command
Heirarhcy
Delegation
A business has decided to recruit someone externally rather than internally because...
They will already have good experience of the business
It will be cheaper
They may have new ideas
The business will know the candidate well
Training benefits the employer because...
Employees get paid more
Employees become less productive
Employees have up-to-date skills
It is expensive
A business has decided to do off-the-job training because..
Its cost effective
Often higher quality
Its the most common form of training
Employees learn from others
What is a benefit of an effective recruitment & selection process?
Increased profit
Staff retention
Extra training
Styles of management
A business checks products after they are made. What is this an example of?
Quality Control
Quality Circles
Quality Assurance
When products are checked at each stage of production, what is this an example of?
Quality Control
Quality Circles
Quality Assurance
What is another name for a business' sales revenue?
Sales
Costs
Sales turnover, turnover or revenue
Profit and Loss
What does the money spent on materials affect?
Gross Profit figure only
Net Profit figure only
Both Gross Profit and Net Profit figures
What is the formula for profit after tax?
Net profit before tax + corporation tax
Net profit before tax - corporation tax
Net profit after tax - corporation tax
Net profit after tax + corporation tax
If a business's costs exceeds it sales revenue, it will experience a ........?
loan
profit
loss
debt
What is an advantage of an overdraft?
There is never interest
You can pay in smaller installments
Useful for relatively small sums and short term finance
You don't have to pay it back
Which of these facts about venture capital is NOT true?
Venture capitalists tend to operate in fairly risky markets
Venture capitalists would be paid a share of the profits
Venture capitalists usually provide money only and have no interest in running the business
Venture capitalists usually invest large sums of money
Which of the following are DISADVANTAGES of selling shares as a source of funds? (select as many as appropriate)
It means limited liability for the owners
Dividends need to be paid to shareholders
Large sums of money can be raised
Does not apply to Partnerships or Sole Traders
Which of the following would be the most appropriate source of funds for a new business (which is just launching) that makes mobile phone accessories?
Retained Profit
Sale of Assets
Share Capital
Trade Credit
How do you calculate Gross Profit Margin?
gross profit / sales (revenue) x 100
gross profit x sales (revenue) / 100
gross profit / sales (revenue) / 100
gross profit x sales (revenue) x 100
How do you calculate Net Profit Margin?
net profit / sales (revenue) x 100
gross profit x sales (revenue) / 100
gross profit / sales (revenue) / 100
gross profit x sales (revenue) x 100
Gross Profit is...
Turnover (Revenue) - Cost of Sales
Turnover (Revenue) - Expenses
Cost of Sales - Expenses
Cost of Sales + Expenses
Net Profit is...
Gross Profit - Cost of Sales
Turnover (Revenue) - Expenses
Gross Profit - Expenses
Cost of Sales + Expenses
The formula to work out Average rate of return is
(Average profit / Cost of investment) X 100
(Profit / Cost of investment) X 100
(Average profit X Cost of investment) X 100
(Profit X Cost of investment) X 100
A..
Profit
Loss
Break-even Point
Fixed Costs
B...
Total Costs
Revenue
Break-even Point
Fixed Costs
C...
Total Costs
Revenue
Break-even Point
Fixed Costs
D...
Total Costs
Loss
Break-even Point
Profit
What is the formula for Average Rate of Return
average annual profit / initial investment x 100
initial investment / average annual profit x 100
initial profit / total profit x 100
why do businesses calculate ARR?
calculates the revenue of the business
compares the yearly investment to the cost of investment
shows the total running costs
