buisness studies

Question 1

what are goods?

Answer 1

physical items like books or services (tangible)

Question 2

what is a service?

Answer 2

actions performed by other people e.g.. plumbers and barbers.(non-tangible)

Question 3

what are the three sector of economy?

Answer 3

primary sector
tertiary sector
secondary sector

Question 4

what’s the primary sector?

Answer 4

primary sector produces raw materials and natural resources e.g. mining, farming.

Question 5

what’s the secondary sector?

Answer 5

secondary sector manufactures goods. e.g. chocolate factory and the building industry

Question 6

what’s the tertiary sector?

Answer 6

tertiary sector provides services. e.g. hairdressers, shops and restaurants.

Question 7

what are entrepreneurs quality’s?

Answer 7

-hardworking
-long hours
-organized

Question 8

what are the four factors of production?

Answer 8

-land
-labour
-capital
-enterprise

Question 9

what is capital?

Answer 9

capital is the equipment, factories and schools that produce goods or services.

Question 10

what is land?

Answer 10

earths natural resources e.g. water, nonrenewable resources=gas, oil and coal

Question 11

what is labor?

Answer 11

labor is the work done e.g. people have different levels of education, experience or training.

Question 12

what is enterprise?

Answer 12

enterprise refers to people (entrepreneurs) who take risks and create things

Question 13

what is opportunity cost?

Answer 13

is the benefit that’s given up in order to do something else -its the cost of the choice that’s made.

Question 14

what is a sole trader?

Answer 14

just one owner of a business

Question 15

sole trader advantages?

Answer 15

-easy to set up
-be your own boss
-decide alone about profit

Question 16

sole trader disadvantages?

Answer 16

-long hours may not many holidays
-unlimited liability
-hard to raise money
-unincorporated

Question 17

what is partnership?

Answer 17

2-21 partners owning a buisness.

Question 18

partnership advantages?

Answer 18

-more ideas
-share the work
more capital(money)

Question 19

partnership disadvantages?

Answer 19

-legally responsible for other partner
-unlimited liability
-more disagreements
-profit shared

Question 20

what’s private limited company (Ltd)?

Answer 20

means that shares can only be sold if shareholders agree.

Question 21

Ltd advantages?

Answer 21

-limited liability
-easy to get a loan

Question 22

Ltd disadvantages?

Answer 22

-more expensive
-legal paperwork

Question 23

what is public limited company (plc)?

Answer 23

company shares are traded on a stock exchange and can be bought and sold by anyone.

Question 24

company shares are traded on a stock exchange and can be bought and sold by anyone.

Answer 24

-capital can be raised easily
-helps the company to expand and diversify

Question 25

what are disadvantages?

Answer 25

-hard to get hold of shares -accounts have to be made public

Question 26

what's a not-for-profit business?

Answer 26

a business that don't try to make a profit (at least not for there owners)

Question 27

what's an aim?

Answer 27

overall goals that business wants to achieve

Question 28

what's an objective?

Answer 28

how and why a business want to change and how they're used to measure success.

Question 29

different type of stakeholders?

Answer 29

-owners -employees -local community -customers -the government -a firm

Question 30

what is the revenues?

Answer 30

revenues the income earned by a business.

Question 31

what's the formula for revenue?

Answer 31

revenue=sales x price

Question 32

what's the formula for total costs?

Answer 32

total cost= variable cost + fixed costs

Question 33

what's the formula for average unit cost?

Answer 33

average unit cost= total cost divided by output

Question 34

what is the profit?

Answer 34

the difference between revenue and cost over a period of time.

Question 35

what's the formula for profit?

Answer 35

profit= revenue - costs

Question 36

what's the average unit cost?

Answer 36

cost is how much each product cost to make.

Question 37

what's the fixed variable cost?

Answer 37

don't vary with output (amount a business produces)

Question 38

what's a business plan?

Answer 38

an outline of what a business will do and how it aims to do it.

Question 39

what's is the five main factors of location?

Answer 39

-location of raw materials -labor supply -competition -location of the market -cost

Question 40

what's e-commerce?

Answer 40

where the firm sells products vias the internet.

Question 41

what's franchising?

Answer 41

a company expands by giving other firms the right sell its products in return for a fee.

Question 42

what's a merger?

Answer 42

when two firms join together to form a new business/firm.

Question 43

what's a takeover?

Answer 43

when an existing firm expand by buying more than half the shares in another business.

Question 44

4 factors firm can merge or takeover?

Answer 44

-supplier -competitor -unrelated firm customor

Question 47

what is the three marker structure?

Answer 47

one BLT - because, leads to, therefore

Question 48

what is the structure for a 6 marker?

Answer 48

either one advantage and a disadvantage or 2x advantages or disadvantages. 2x BLT

Question 49

what is the structure for a 9 marker?

Answer 49

2x advantage and 1x disadvantage include "however it all depends on"