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Worksheets

3.1 & 3.2 Revision

Total questions: 10

Worksheet time: 6mins

Name
Class
Date
1.

Which of the following is the BEST definition of 'mission statement'?

a)

A statement defining the future aspirations of a business

b)

A statement defining what an organisation is, why it exists and its purpose

c)

A statement explaining what the business does

d)

A statement explaining which stakeholders a business will serve

2.

What do shareholders want from a business? Tick all that apply.

a)

Dividend payments

b)

Capital Growth

c)

Voting rights at the AGM

d)

All of the above

3.

Which of the following are true about Market Capitalisation? Tick all that apply.

a)

Calculated by share price x number of shares issued

b)

It gives a valuation of the company

c)

Changes in the share price will affect the value of a business

d)

It is within the control of the management of the business

4.

Which of the following are true about Interest Rates? Tick all that apply.

a)

Interest rates are the cost of borrowing money.

b)

Interest rates are earned on savings.

c)

All businesses will be negatively affected by a rise in interest rates.

d)

All of the above.

5.

Hard HRM is likely to involve leaders with a Authority / Obedience leadership style.

a)

TRUE

b)

FALSE

6.

Impoverished management could be considered the same as laissez-faire leadership.

a)

TRUE

b)

FALSE

7.

Which of the following are TRUE about Decision Trees?

a)

Provide a logical process for decision making

b)

Use probability to quantify the chance of an outcome happening

c)

Are most useful in the case of completely new problems

d)

All of the above

8.

Which of the following is the BEST definition of 'Opportunity Cost'?

a)

What is lost when a decision is made

b)

The benefit of the next best alternative given up when a decision is made

c)

The cost of paying for an opportunity

9.

According to Mendelow's Matrix, which stakeholder group should a business focus most on satisfying?

a)

Low power, low interest

b)

Low power, high interest

c)

High power, low interest

d)

High power, high interest

10.

A farm growing strawberries supplies ALL of its product to Tesco, but they are only one of many businesses doing the same.


Where would Tesco fit on the stakeholder map for the strawberry farm?

a)

Low power, low interest

b)

Low power, high interest

c)

High power, low interest

d)

High power, high interest