A Level Business Studies Q&A Mastery Package

Brand Name A name, term, sign, symbol, design or any other feature that allows consumers to identify the goods and services of a business and to differentiate them from those of competitors E-commerce Conducting business transactions online Online retailing The retailing of goods online Marke...

Corporate objectives The objectives of a medium to large-sized business as a whole Departmental and functional objectives The objectives of a department within a business Mission statement A brief statement, written by the business, describing its purpose and objectives, designed to encapsulat...

Mass marketa market that targets a large segment - products are standardised Niche marketa market that targets a small segment - customers have specific needs that aren't catered by the mass market Brand namea name, sign, symbol or other feature that allows consumers to identify the goods of ...

Capital The money provided by the owners in a business Capital expenditure Spending on business resources that can be used repeatedly over a period of time Internal finance Money generated by the business or its current owners Retained profit Profit after tax that is 'ploughed back' into the ...

Fixed costs ÷ contribution Break even (Opening stock + purchases) - closing stock Cost of sales Total revenue - cost of sales Gross profit Gross profit - expenses Net profit Gross profit ÷ sales revenue x100 Gross profit margin Net profit ÷ sales revenue x100 Net profit margin

Retained profits profits that the owners have reinvested into the business after paying costs and taxes Owners' funds money put in by the owners themselves Sale of assets a one-off way to raise money, generally used during financial struggles Benefits of owners funds Avoids interest on loans...

Added Value Added value is the value of the finished output over and above the cost of achieving it i.e. the cost of inputs and transformations. Value can be added by manufacturing, branding, technology and a unique selling point. Calculated as: Selling price - cost of inputs - cost of transfor...

What are niche markets? Where a business targets a smaller segment of a larger market, where customers have specific needs and wants What are mass markets? Where a business sells into the largest part of the market, where there are many similar products offered by competitors State the feature...

Total Costs Fixed Costs + Variable Costs Total Revenue Price x Quantity Sold Margin of Safety Expected Output - Breakeven Output Breakeven Output Fixed Costs/Contribution Per Unit Contribution Per Unit Selling Price - Variable Costs Total Profit Output Fixed Costs + Target Profit/Contribution p...

Internal finance Money generated by the business or its current owners External finance Money raised from sources outside the business Owner's Capital The money provided by the owners in a business Sale of assets when a business sells off its unwanted or unused assets to raise funds Retained ...