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Component 3 - Revenue/Costs Part 1 -Topic 3

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Which of the following are start-up costs for a restaurant?

a)

Wages

b)

Rent

c)

Furniture

d)

Stock

2.

Which of the following are running costs for a restaurant?

a)

Furniture

b)

Buying an oven

c)

Paying for logo design

d)

Purchase of Ingredients

3.

Which of the following are both fixed costs?

a)

Rent & Stock Purchases

b)

Salaries & Wages

c)

Wages & Rent

d)

Insurance & Salaries

4.

Which of the following is NOT a variable cost?

a)

Paying Rent

b)

Paying Wages

c)

Paying for Ingredients

d)

Fuel for Deliveries

5.

How do you calculate total costs?

a)

Variable Costs x Quantity

b)

Fixed Costs + Total Variable Costs

c)

Start Up Costs + Running Costs

d)

Start Up Costs + Variable Costs

6.

How do you calculate turnover or net sales?

a)

Net Sales - Cost of Sales

b)

Gross Profit - Expenses

c)

Fixed Costs + Variable Costs

d)

Price x Quantity Sold

7.

___________ is calculated by turnover – cost of sales

a)

Gross Profit

b)

Net Profit

c)

Closing Balance

d)

Opening Balance

8.

____________ is calculated by gross profit – expenses

a)

Gross Profit

b)

Net Profit

c)

Closing Balance

d)

Opening Balance

9.

If a business wishes to increase its gross profit they may wish to

a)

Lower Prices

b)

Find Cheaper Suppliers

c)

Raise their Cost of Sales

d)

Keep the price the same

10.

If a business wishes to increase its net profit it must.

a)

Raise Cost of Sales

b)

Raise Expenses

c)

Reduce Prices

d)

Reduce Expenses