B

Question 1

Bad debt

Answer 1

unpaid customers’ bills that are now very unlikely to ever be paid

Question 2

Balance sheet

Answer 2

an accounting statement that records the values of a business’s assets, liabilities and shareholders equity at one point of time

Question 3

Bar chart

Answer 3

use bands of equal width but of varying length or height to represent relative values.

Question 4

Batch production

Answer 4

producing a limited number of identical products-each item in the batch passes through one stage of production before passing on to the next stage

Question 5

Below-the-line promotion

Answer 5

promotion that is not directly paid for means of communication, but based on short-term incentives to purchase

Question 6

Brand

Answer 6

an identifying symbol, name, image or trademark that distinguishes a product from its competitors

Question 7

Branding

Answer 7

the strategy of differentiating products from those of competitors by creating an identifiable image and clear expectations about a product

Question 8

Break-even point of production

Answer 8

the level of output at which total costs equal total revenue neither a profit nor loss is made

Question 9

Buffer stocks

Answer 9

the minimum stocks that should be held to ensure that production could still take place should a delay in delivery occur or should production rates increase

Question 10

Business plan

Answer 10

a detailed document giving evidence about a new or existing business, and that aims to convince external lenders and investors to extend finance to the business