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GCSE Business Theme 1 key terms

Total questions: 40

Worksheet time: 20mins

Name
Class
Date
1.

Difference between the cost of the materials taken to make a product and the price that is charged for the product = ???

a)

Break even

b)

Raw materials

c)

Added value

d)

Sole trader

2.

The goals of a business. These may be financial or non‐financial = ???

a)

Aims and objectives

b)

Limited liability

c)

Globalisation

d)

e-commerce

3.

The number of products a business must sell so that its total revenue is the same as its total costs. At this point the business will make no profit or loss = ???

a)

Sales revenue

b)

Net profit

c)

Gross profit

d)

Break even

4.

A plan for the development of a business, giving details such as the products to be made, resources needed, and financial forecasts = ???

a)

Aims and objectives

b)

Business plan

c)

Source of finance

d)

Crowdfunding

5.

The flow of money into and out of a business over a period of time. = ???

a)

Break even

b)

Net profit

c)

Fixed asset

d)

Cash flow

6.

Money coming into the business. E.g. Revenue, a loan or another source of finance = ???

a)

Cash inflow

b)

Cash outflow

c)

Net cash flow

d)

Closing balance

7.

Money leaving the business. E.g. Wages, suppliers, loan repayments or advertising = ???

a)

Cash inflow

b)

Net cash flow

c)

Cash outflow

d)

Opening balance

8.

The amount of money left at the end of the month = ???

a)

Opening balance

b)

Cash inflow

c)

Closing balance

d)

Net cash flow

9.

What the consumer is entitled to by law = ???

a)

Consumer rights

b)

Health and safety act

c)

Added value

d)

Unlimited liability

10.

Where a large number of individuals invest into a business project on internet sites = ???

a)

Overdraft

b)

Crowdfunding

c)

Bank loan

d)

Retained profit

11.

What the customer wants, these can change over time. E.g. Price, quality, choice or convenience. = ????

a)

Inflation

b)

Primary research

c)

Exchange rate

d)

Customer needs

12.

The characteristics of the population in terms of age and gender = ???

a)

Focus group

b)

Demographics

c)

Gap in the market

d)

Secondary research

13.

Treating somebody differently based on their age, gender, race, religion or disability = ???

a)

Discrimination

b)

Equality

c)

Diversity

d)

Franchise

14.

Buying and selling online = ???

a)

e-commerce

b)

a-commerce

c)

i-commerce

d)

u-commerce

15.

The price of one currency in terms of another. E.g. £1=$2 ???

a)

Overdraft

b)

Inflation

c)

Disposable income

d)

Exchange rate

16.

Goods or services that a firm produces in its home market, but sells in a foreign market = ???

a)

Import

b)

Export

c)

Cash outflow

d)

Market segmentation

17.

‐ Aims and objectives that relate to the money. E.g. Survival, profit, sales, market share = ???

a)

Insolvency

b)

Non financial aim

c)

Marketing mix

d)

Financial aim

18.

Costs which do not change with output (number of units you make/sell). E.g. Rent or salaries = ???

a)

Variable cost

b)

Fixed cost

c)

Sales revenue

d)

Net cash flow

19.

Where a number of customers are invited to attend a discussion about a product = ???

a)

Focus group

b)

Secondary research

c)

Survey

d)

Questionnaire

20.

The right given by one business to another to sell goods or services using its name = ???

a)

Sole trade

b)

Private limited company

c)

Public limited company

d)

Franchise

21.

Where people want to buy something but nobody is selling it = ???

a)

Void in the market

b)

Space in the market

c)

Gap in the market

d)

Hole in the market

22.

Physical items a business sells. E.g. Bikes, laptops & pens = ???

a)

Good

b)

Service

c)

Asset

d)

Liability

23.

Goods and services that are bought into one country from another = ???

a)

Margin of safety

b)

Import

c)

Market mapping

d)

Export

24.

When a business can no longer afford to pay its debts = ???

a)

Profit

b)

Break even

c)

Cash flow forecast

d)

Insolvency

25.

The cost of borrowing and the reward of saving = ???

a)

Exchange rate

b)

Inflation

c)

Closing balance

d)

Interest rate

26.

‐ Where a business and its owners have separate legal identities, meaning shareholders can only lose the original amount they invested into a business = ???

a)

Unlimited liability

b)

Limited liability

c)

Stock market

d)

Partnership

27.

The amount of products a firm sells over and above the breakeven point = ???

a)

Margin of safety

b)

Margin of danger

c)

Margin of profit

d)

Margin of loss

28.

The elements of marketing that are designed to meet the needs of the customer. The elements are product, price, place and promotion = ???

a)

Market segmentation

b)

Primary research

c)

The marketing mix

d)

Secondary research

29.

‐ An identifiable group of people with the similar characteristics. This could be split by location, demographics, lifestyle or income = ???

a)

Market segmentation

b)

Marketing

c)

Human Resources

d)

Market mapping

30.

The difference between cash inflows and cash outflows = ???

a)

Variable costs

b)

Gross profit

c)

Opening balance

d)

Net cash flow

31.

Aims and objectives that relate to areas other than finance. E.g. Social objectives, personal satisfaction, challenge and control = ???

a)

Financial aim

b)

Non‐financial aim

c)

Profit maximisation

d)

Entrepreneurial quest

32.

A product which is out of date and no longer used = ???

a)

Obsolete

b)

Demand

c)

Risk

d)

Reward

33.

With agreement from your bank, taking more out of your account than you actually have, leaving a negative bank balance = ???

a)

Overdraft

b)

Bank loan

c)

Share capital

d)

Retained profit

34.

‐ Research which is being collected for the first time = ???

a)

Secondary research

b)

Marketing

c)

Globalisation

d)

Primary research

35.

‐ An incorporated business, with Ltd after its name that can sell shares to family and friends. The shareholders have limited liability = ???

a)

Private Limited Company

b)

Public Limited Company

c)

Sole trader

d)

Partnership

36.

Data which is detailed and contains information about people's feelings and opinions = ???

a)

Quantitative data

b)

Quality data

c)

Quintessential data

d)

Qualitative data

37.

The money made from selling a product. = ???

a)

Net cash flow

b)

Variable costs

c)

Share capital

d)

Sales revenue

38.

The collection of data that already exists but is then used for a business's own requirements = ???

a)

Focus group

b)

Secondary research

c)

Survey

d)

Primary research

39.

‐ A business with a single owner, who has unlimited liability = ???

a)

Private Limited Company

b)

Public Limited Company

c)

Franchise

d)

Sole trader

40.

Where a business and its owners are one and the same, meaning the owners are responsible for all business debts = ???

a)

Limited liability

b)

Insolvency

c)

Venture capital

d)

Unlimited liability