Y9 Business: Practice Questions (MCQ, Define)

1

What is the formula to calculate profit?

Revenue ÷ Costs

Revenue × Costs

Revenue - Costs

Costs - Revenue

1

How do you calculate total revenue?

Price of product × Quantity (how many) Sold

Price ÷ Quantity Sold

Price √ Quantity Sold

Price - Quantity Sold

1

Which formula calculates loss?

Costs × Revenue

Costs - Revenue

Costs ÷ Revenue

Revenue - Costs

1

Which one of the following is the total revenue for a day?

£600

£1 800

£2 400

£7 200

1

What is the percentage increase in revenue from 2015 to 2016?

4.03%

5.19%

6.44%

8.69%

1

Based on the financial data in Figure 1, which one of the following statements from Figure 2 correctly applies to the gym equipment business?

It made a loss of €88 400

It made a loss of €61 165

It made a profit of €43 765

It made a profit of €78 165

1

In 2021 Irsi Chocolatier's revenue was €311 625. Each year it has seen its revenue increase.
Which one of the following would be a 3% increase in revenue for Irsi Chocolatier?

€317 857.50

€319 415.63

€320 973.75

€322 531.88

1

A business objective is a specific goal that a business aims to achieve

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Ɛnyɛ ampa

1

All businesses, regardless of size, type of product, or their mission, will have the same goal of the most profit

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Ɛnyɛ ampa

1

Business objectives can vary based on the type of business and its market environment.

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1

Only large businesses need to set business objectives, while small businesses can operate without them.

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1

Which one of the following is a financial business objective?

Challenge

Social objectives

Survival

Personal satisfaction

1

Which of the following could be a non-financial objective for the owner of a business?

Improved chance of survival

Increased market share

Personal satisfaction

Increased profit

1

Which one of the following could be a financial objective?

Personal satisfaction

Increased production quality

Increased market share

Loyal employees

1

Which one of the following is a financial objective?

Personal satisfaction

Independence

Control

Increasing revenue

1

What is a business cost?

Profits after selling products.

Expenses for employees only.

The money spent to run a business.

All earnings from a business.

1

What defines a variable cost?

Costs that remain constant regardless of output.

Costs that change with production levels. The more of a product that is made, the higher the cost will be.

Total costs added up over time.

Costs for rent and salaries.

1

What is a fixed cost?

Overall expenses for a month.

Costs that rise with sales volume.

Variable costs combined with revenue.

Costs that do not change with production amount. The cost is the same whether 1 product or 100 are made.

1

What is total cost in a business context?

Only fixed costs in a business.

Revenue minus total expenses.

The sum of fixed and variable costs.

Only variable costs incurred.

1

Which one of the following is a variable cost?

Insurance

Rent

Salaries

Packaging

1

Figure 1 gives details of one of the many suppliers of tyres to Tata Motor Company. If they produce 2,400 tyres each month, what are the monthly total costs for the business?

€8 412

€34 800

€74 400

€204 000

1

Lavender is a bakery in Paris serving cakes and coffee. Which one of the following is an example of a fixed cost for Lavender?

Flour used in the cakes

Packaging used for Lavender's cakes

Sugar used in production

Rent for Lavender's businesses

1

Lavender calculates the cost of the cakes it makes. The weekly fixed cost is 759 MYR. The variable cost per cake is 4.70 MYR.
Calculate the total cost of selling 1,650 cakes in a week.

2 413.70

3 567.30

7 755.00

8 514.00

1

Which one of the following is a variable cost?

Rent paid

Management salaries

Insurance agreed

Raw materials

1

Based on 30 customers each month, which one of the following is the total monthly cost?

€692.50

€931.50

€2137.50

€2312.50

1

A business has fixed costs of £6 000 a month. Variable costs are £5 per unit and 8,000 units are made each month.
Which one of the following is the total monthly cost?

£ 6 005

£14 000

£30 000

£46 000

1

What is marketing primarily used for in a business?

To manage finances effectively.

To hire new employees.

To produce goods and services.

To promote products and create brand awareness.

1

What does brand awareness help a company achieve?

Less competition in the market.

Customers recognize and remember the brand.

Higher product quality overall.

Better prices for products.

1

Which of the following is a goal of marketing?

To reduce overall business costs.

To hire a better sales team.

To decrease product variety available.

To increase sales and attract more customers.

1

Which of the following is an element of the marketing mix?

Pay

Price

Profit

Productivity

1

Which one of the following is a method of primary market research?

Newspaper articles

Government statistics

Focus groups

Internet research

1

Which one of the following is a form of promotion that targets a specialised segment of the market?

Mass marketing

Niche marketing

Market share

Market analysis

1

Which one of the following could be used to gather data for a business?

Market research

Market orientation

Market segmentation

Market place

1

Which one of the following is a method of secondary market research?

Questionnaires

Survey from another business

Surveys

Focus groups

1

Which of the following is a reason why a business would advertise its
products?

To shorten the product life cycle

To create customer loyalty

To identify gaps in the market

To create employment

1

Which one of the following is an example of secondary market research?

Telephone Survey

Market Industry Report

Test Marketing

Focus Group

1

Which one of the following is an advantage of primary market research?

It is a more up to date method of research

It is less time-consuming than secondary research

It is cheaper than other types of market research

It is only done by market-research agencies

1

Which one of the following is an example of secondary research?

Government reports

Surveys

Focus groups

Observations

1

Which one of the following is an example of primary market research?

Published government statistics

Magazine article

Internet research

Surveys

1

Which one of the following is a role within the marketing function?

Workforce planning

Quality control

Sales promotion

Training employees

1

Which one of the following is an example of external communication when the business communicates with someone who is not an employee or owner?

A presentation by the chairperson to its employees

Sending a customer details of a special offer

A departmental meeting

Training sessions for new employees

1

What is breakeven analysis used for?

To determine sales needed to cover costs

To calculate taxes owed

To set profit goals

To measure customer satisfaction

1

What does the breakeven point indicate?

No profit or loss occurs at that sales level

The highest cost level

Profit maximization

Maximum sales potential

1

How is the margin of safety calculated?

Total fixed costs

Total variable costs

Actual sales - breakeven amount point

Profit margin percentage

1

Why is breakeven analysis important for businesses?

It eliminates all costs

It guarantees profits

It assesses employee performance

Helps them know how many units they need to make and sell

1

What term describes the difference between actual sales and breakeven sales?

Profit margin

Sales variance

Cost margin

Margin of safety

1

Breakeven is defined as?

Total revenue minus expenses

When total revenue equals total costs

Total costs divided by units sold

Total sales minus profit

1

Which is a limitation of breakeven analysis?

Reflects market trends

Calculates future profits accurately

Includes all indirect costs

Assumes variable costs remain constant but they might change over time

1

What factors affect the breakeven point?

Customer demographics

Employee salaries

Marketing strategies

Fixed costs, variable costs, sales price

1

Which one of the following are equal in a break-even graph?

Fixed costs and variable costs

Fixed costs and revenue

Total costs and fixed costs

Total costs and revenue

1

In a break-even graph, the break-even point is when:

total costs and fixed costs are the same

fixed costs and variable costs are the same

total costs and revenue are the same

fixed costs and revenue are the same

1

Which one of the following is the break-even point?

A

B

C

D

1

Which one of the following is used to calculate the break-even point?

Fixed costs × (selling price + variable costs)

Fixed costs × (selling price − variable costs)

Fixed costs ÷ (selling price + variable costs)

Fixed costs ÷ (selling price − variable costs)

1

Irsi Chocolatier's monthly fixed costs are €950 and variable costs per luxury box of chocolates are €2.60.
Which one of the following is the break-even point when a box of luxury chocolates is priced at €15.10?

75

76

77

78

1

Figure 1 shows some financial data. Which one of the following is the break-even level of output?

280

350

420

616

Y9 Business: Practice Questions (MCQ, Define)

What is the formula to calculate profit?

How do you calculate total revenue?

Which formula calculates loss?

Which one of the following is the total revenue for a day?

What is the percentage increase in revenue from 2015 to 2016?

Based on the financial data in Figure 1, which one of the following statements from Figure 2 correctly applies to the gym equipment business?

In 2021 Irsi Chocolatier's revenue was €311 625. Each year it has seen its revenue increase.Which one of the following would be a 3% increase in revenue for Irsi Chocolatier?

A business objective is a specific goal that a business aims to achieve

All businesses, regardless of size, type of product, or their mission, will have the same goal of the most profit

Business objectives can vary based on the type of business and its market environment.

Only large businesses need to set business objectives, while small businesses can operate without them.

Which one of the following is a financial business objective?

Which of the following could be a non-financial objective for the owner of a business?

Which one of the following could be a financial objective?

Which one of the following is a financial objective?

What is a business cost?

What defines a variable cost?

What is a fixed cost?

What is total cost in a business context?

Which one of the following is a variable cost?

Figure 1 gives details of one of the many suppliers of tyres to Tata Motor Company. If they produce 2,400 tyres each month, what are the monthly total costs for the business?

Lavender is a bakery in Paris serving cakes and coffee. Which one of the following is an example of a fixed cost for Lavender?

Lavender calculates the cost of the cakes it makes. The weekly fixed cost is 759 MYR. The variable cost per cake is 4.70 MYR.Calculate the total cost of selling 1,650 cakes in a week.

Which one of the following is a variable cost?

Based on 30 customers each month, which one of the following is the total monthly cost?

A business has fixed costs of £6 000 a month. Variable costs are £5 per unit and 8,000 units are made each month.Which one of the following is the total monthly cost?

What is marketing primarily used for in a business?

What does brand awareness help a company achieve?

Which of the following is a goal of marketing?

Which of the following is an element of the marketing mix?

Which one of the following is a method of primary market research?

Which one of the following is a form of promotion that targets a specialised segment of the market?

Which one of the following could be used to gather data for a business?

Which one of the following is a method of secondary market research?

Which of the following is a reason why a business would advertise itsproducts?

Which one of the following is an example of secondary market research?

Which one of the following is an advantage of primary market research?

Which one of the following is an example of secondary research?

Which one of the following is an example of primary market research?

Which one of the following is a role within the marketing function?

Which one of the following is an example of external communication when the business communicates with someone who is not an employee or owner?

What is breakeven analysis used for?

What does the breakeven point indicate?

How is the margin of safety calculated?

Why is breakeven analysis important for businesses?

What term describes the difference between actual sales and breakeven sales?

Breakeven is defined as?

Which is a limitation of breakeven analysis?

What factors affect the breakeven point?

Which one of the following are equal in a break-even graph?

In a break-even graph, the break-even point is when:

Which one of the following is the break-even point?

Which one of the following is used to calculate the break-even point?

Irsi Chocolatier's monthly fixed costs are €950 and variable costs per luxury box of chocolates are €2.60.Which one of the following is the break-even point when a box of luxury chocolates is priced at €15.10?

Figure 1 shows some financial data. Which one of the following is the break-even level of output?

What is the formula to calculate profit?

How do you calculate total revenue?

Which formula calculates loss?

Which one of the following is the total revenue for a day?

What is the percentage increase in revenue from 2015 to 2016?

Based on the financial data in Figure 1, which one of the following statements from Figure 2 correctly applies to the gym equipment business?

In 2021 Irsi Chocolatier's revenue was €311 625. Each year it has seen its revenue increase.Which one of the following would be a 3% increase in revenue for Irsi Chocolatier?

A business objective is a specific goal that a business aims to achieve

All businesses, regardless of size, type of product, or their mission, will have the same goal of the most profit

Business objectives can vary based on the type of business and its market environment.

Only large businesses need to set business objectives, while small businesses can operate without them.

Which one of the following is a financial business objective?

Which of the following could be a non-financial objective for the owner of a business?

Which one of the following could be a financial objective?

Which one of the following is a financial objective?

What is a business cost?

What defines a variable cost?

What is a fixed cost?

What is total cost in a business context?

Which one of the following is a variable cost?

Figure 1 gives details of one of the many suppliers of tyres to Tata Motor Company. If they produce 2,400 tyres each month, what are the monthly total costs for the business?

Lavender is a bakery in Paris serving cakes and coffee. Which one of the following is an example of a fixed cost for Lavender?

Lavender calculates the cost of the cakes it makes. The weekly fixed cost is 759 MYR. The variable cost per cake is 4.70 MYR.Calculate the total cost of selling 1,650 cakes in a week.

In 2021 Irsi Chocolatier's revenue was €311 625. Each year it has seen its revenue increase.
Which one of the following would be a 3% increase in revenue for Irsi Chocolatier?

Lavender calculates the cost of the cakes it makes. The weekly fixed cost is 759 MYR. The variable cost per cake is 4.70 MYR.
Calculate the total cost of selling 1,650 cakes in a week.

A business has fixed costs of £6 000 a month. Variable costs are £5 per unit and 8,000 units are made each month.
Which one of the following is the total monthly cost?

Which of the following is a reason why a business would advertise its
products?

Irsi Chocolatier's monthly fixed costs are €950 and variable costs per luxury box of chocolates are €2.60.
Which one of the following is the break-even point when a box of luxury chocolates is priced at €15.10?

In 2021 Irsi Chocolatier's revenue was €311 625. Each year it has seen its revenue increase.
Which one of the following would be a 3% increase in revenue for Irsi Chocolatier?

Lavender calculates the cost of the cakes it makes. The weekly fixed cost is 759 MYR. The variable cost per cake is 4.70 MYR.
Calculate the total cost of selling 1,650 cakes in a week.

A business has fixed costs of £6 000 a month. Variable costs are £5 per unit and 8,000 units are made each month.
Which one of the following is the total monthly cost?

Which of the following is a reason why a business would advertise its
products?

Irsi Chocolatier's monthly fixed costs are €950 and variable costs per luxury box of chocolates are €2.60.
Which one of the following is the break-even point when a box of luxury chocolates is priced at €15.10?