Free Printable DPP BM Wk 5

1.

Which of the following is not a start up cost?

a)

Connection and installation of internet and electricity

b)

Furniture, Fixtures and Fittings

c)

Initial stock of supplies

d)

Repairs and maintenance

2.

Charlie's fresh juice pay rent of $2,000 a week, a salary of $2,000 a week to Charlie, buy $6,000 of fresh fruit and use $800 in packaging for the juices. What is the fixed cost?

a)

$2000

b)

$4000

c)

$4800

d)

$6800

3.

Charlie's fresh juice pay rent of $2,000 a week, a salary of $2,000 a week to Charlie, buy $6,000 of fresh fruit and use $800 in packaging for the juices. What is the variable cost?

a)

$2000

b)

$4000

c)

$4800

d)

$6800

4.

Charlie's fresh juice have fixed cost of $4000. Every juice he makes has $2.50 of fresh juice and $0.50 for the cup. If Charlie sells the juices for $8.00 each, how many juices does he need to sell to break even?

a)

500 juices

b)

800 juices

c)

1333 juices

d)

1334 juices

5.

Charlie's fresh juice have fixed cost of $4000. Every juice he makes has $2.50 of fresh juice and $0.50 for the cup. If Charlie sells the juices for $8.00 each, how many juices does he need to sell to make a profit of $2000 for the week?

a)

500 juices

b)

667 juices

c)

1000 juices

d)

1200 juices

6.

Charlie's fresh juice have a rent increase of $700 a week to bring the fixed cost to $4700. Every juice he makes has $2.50 of fresh juice and cups increase to $0.60 each. If Charlie keeps the juice price at $8.00 each, how many juices does he need to sell to make a profit of $2000 for the week?

a)

1166 juices

b)

1367 juices

c)

1368 juices

d)

1715 juices

7.

Salary and wages are different. Which statement is not correct

a)

Salary does not chance based on the hours work, where as wages do.

b)

Wages are a fixed cost

c)

Salary and wages both need to be considered when determining break even

d)

Wages are a variable cost

8.

Revenue is money coming into the business. Expenses is money going out. Which of the following is the most common Revenue Stream

a)

Advertising

b)

Interest

c)

Sales

d)

Sponsorship

9.

After 1 year of selling juices Charlie has made $104,000 in profit. He decides to invest $50,000 into shares for the business. What revenue stream is he trying to gain?

a)

Dividends

b)

Interest Earnings

c)

Royalties

d)

Sponsorship

10.

In year 2 of business operations Charlie has a Gross Profit of $40,000 yet his loss for the year is ($15,000). This is because?

a)

He didn't have a variety of revenue streams.

b)

The cost of fresh fruit must of gone up.

c)

Expenses such as wages, rent, electricity must of increased.

d)

He paid too much in diviends.

DPP BM Wk 5

Total questions: 10

Worksheet time: 7mins

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