Business Studies GCSE (Edexcel) - Unit 1: Topic 1.3 Putting a business idea into practice

Question 1

A prediction of how cash will flow through a business in a period of time in future

Accepted Answer

Cash flow forecast

Question 2

Costs which change directly with the number of products made I.e. raw materials, packaging

Accepted Answer

Variable costs

Question 3

Targets expressed in money terms such as making a profit, increasing sales or building wealth

Accepted Answer

Financial objectives

Question 4

When a business can no longer pay its debts

Accepted Answer

Insolvency

Question 5

The cash flowing out of a business (Its payments)

Accepted Answer

Outflow

Question 6

What is the opening balance in February?

Accepted Answer

£15

Question 7

The amount of income received from selling goods or services over a period of time

Accepted Answer

Revenue/Sales Revenue/Turnover/Sales Turnover

Question 8

The number of products / services sold by a business over a period of time

Accepted Answer

Sales Volume

Question 9

Profit occurs when over a period of time

Accepted Answer

The revenues of a business are greater than its costs

Question 10

Total costs =

Accepted Answer

Fixed costs + variable costs

Question 11

The cash flowing into a business (its receipts)

Accepted Answer

Inflow

Question 12

A plan for the development of a business giving forecasts I.e. such as sales, costs & cash flow

Accepted Answer

Business Plan

Question 13

What is the closing balance in December?

Accepted Answer

£165

Question 14

What is the cumulative cash flow? (Total inflow/receipts over a period of time)

Accepted Answer

£1080

Question 15

Net cash flow

Accepted Answer

Receipts (inflows) - payments (outflows)

Question 16

The flow of cash into and out of a business

Accepted Answer

Cash flow

Question 17

Costs which do not vary with the output product I.e. Rent, Wages, Wifi

Accepted Answer

Fixed costs

Questions 17