The time taken for goods ordered to be delivered.

What is start-up capital?

Finance used to open a new business.

Why is finance important for a business?

To keep the business operational, Is needed to purchase goods.

What are 3 types of long term sources of finance?

Mortgages, Debentures, Venture Capital.

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Harder Business Revision.

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Quiz used for IGCSE and College Prep business studies, End of year finals revision.

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Questions 14

Answers

1
What is the profit?
40
60
100
90
2
Define "Lead Time"
A term used to cut down on waste time.
The time taken for goods ordered to be delivered.
When a single product is made in a short time.
When large production lines have to meet a time limit.
3
Whats the gross profit margin? Guestimate
32%
33%
30%
31%
4
What is a creditor?
A current asset.
A non-current liability.
A current liability.
A non-current asset.
5
Which of these is NOT a factor of "Lean Production"
Management & workers communicating.
Rearranging production lines.
Small improvements equate to larger ones.
Minimizing free time.
6
Example of psychological pricing?
50.00
49.99
BUY ONE GET ONE FREE
BUY ONE GET ONE HALF OFF
7
Which is NOT a source of finance?
Interest.
Retained Profit.
Loans.
Shares.
8
Why is working capital important?
To pay for emergency costs (Damage, Loss etc.)
To cover day to day expenses.
So business can cover large expenses.
To pay employees salary.
9
What is start-up capital?
Finance in a general sense.
Finance needed to make a clean slate for a business.
Finance used to pay creditors.
Finance used to open a new business.
10
Which is NOT an internal source of finance?
Retained profit.
Selling inventory.
Sales of existing assets.
Trade credit.
11
Why is finance important for a business?
To create a more enjoyable work environment.
To keep the business operational
To make the business look more profitable.
Is needed to purchase goods.
12
What does ROCE stand for?
Return on Capital Employed
Return of Capital Employed
Return on Employed Capital
Return on Capital Earned
13
An asset is.......
Something that you want.
Something that you're on.
Something that you owe.
Something that you own.
14
What are 3 types of long term sources of finance?
Leasing, Debentures, Mortgages.
Debentures, Overdraft, Trade Credit.
Mortgages, Debentures, Venture Capital.
Mortgages, Sales of Shares, Overdrafts.

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