Business Activty Flashcards
(25 cards)
What is a business activity?
When a business carries out activity such as producing goods or providing services with the aim of selling them to customers and having a profit.
What is meant by ‘output’?
Amount of goods or work produced by a person, machine or factory.
Define ‘service’.
Non-physical goods such as banking, car washing, and waste disposal.
What are ‘goods’?
Physical goods like an iPhone.
What is the role of Human Resources?
A department that deals with employing, training, and helping people.
What are external factors in business?
Things that happen outside of a business that it cannot control.
Define ‘profit’.
The amount left over from a business’s sales after paying all costs.
What is a business?
An organization that produces goods and services.
What are producer goods?
Goods made by a business for another business.
What are consumer goods?
Goods/services produced for consumers (normal people).
What does revenue refer to?
The sales.
What are needs?
Basic requirements for human survival.
What are wants?
People’s desire for goods and services.
Fill in the blank: Infinite means _______.
Without limits in space or time.
Fill in the blank: Finite means _______.
Having an end or limit.
What does ‘scarce’ refer to?
Resources with limited availability.
Define private enterprise.
Business or industry managed by independent companies or individuals rather than by state/government.
What are social enterprises?
Business organizations that put the interest of people ahead of shareholder gain.
What is a public enterprise?
A business organization wholly or partly owned by the state/government and controlled through a public authority.
Define stakeholder.
A person affected by the actions or designs of a business.
What are internal stakeholders?
Groups within a business.
What are external stakeholders?
Groups outside a business.
How is profit calculated?
Profit = total revenue - total cost.
True or False: Profit increases when companies reduce costs or have an increase in revenue.
True.
