Business Paper 1

Question 1

What is the primary purpose of a business plan?

Answer 1

To outline the business goals and the strategy to achieve them.

Question 2

True or False: A SWOT analysis includes strengths, weaknesses, opportunities, and threats.

Answer 2

True

Question 3

Fill in the blank: The four Ps of marketing are product, price, place, and _______.

Answer 3

promotion

Question 4

What does ‘cash flow’ refer to in a business context?

Answer 4

The total amount of money being transferred into and out of a business.

Question 5

Multiple Choice: Which of the following is NOT a type of business ownership? A) Sole proprietorship B) Partnership C) Franchise D) Monopoly

Answer 5

D) Monopoly

Question 6

What is meant by ‘market segmentation’?

Answer 6

The process of dividing a target market into smaller, more defined categories.

Question 7

True or False: A limited liability company (LLC) protects its owners from personal liability.

Answer 7

True

Question 8

Short Answer: What is the role of a board of directors in a corporation?

Answer 8

To oversee the management and make key decisions for the company.

Question 9

What does ‘B2B’ stand for?

Answer 9

Business to Business

Question 10

Fill in the blank: A _______ is a written document that outlines the terms of a business transaction.

Answer 10

contract

Question 11

Multiple Choice: Which financial statement shows a company’s revenues and expenses over a specific period? A) Balance Sheet B) Income Statement C) Cash Flow Statement D) Statement of Retained Earnings

Answer 11

B) Income Statement

Question 12

What is the definition of ‘entrepreneurship’?

Answer 12

The process of starting and operating one’s own business.

Question 13

True or False: A competitive advantage allows a company to outperform its rivals.

Answer 13

True

Question 14

Short Answer: What is the significance of market research?

Answer 14

To gather information about consumer needs and preferences.

Question 15

What is ‘branding’?

Answer 15

The process of creating a unique name and image for a product in the consumer’s mind.

Question 16

Fill in the blank: The _______ is the amount of money a business makes after all expenses are deducted.

Answer 16

profit

Question 17

Multiple Choice: Which of the following is a common pricing strategy? A) Skimming B) Penetration C) Premium D) All of the above

Answer 17

D) All of the above

Question 18

What is ‘corporate social responsibility’ (CSR)?

Answer 18

The concept that businesses should consider their impact on society and the environment.

Question 19

True or False: A business’s mission statement defines its purpose and primary objectives.

Answer 19

True

Question 20

Short Answer: What does ‘e-commerce’ refer to?

Answer 20

Buying and selling goods or services over the internet.

Question 21

What is ‘inventory management’?

Answer 21

The process of ordering, storing, and using a company’s inventory.

Question 22

Fill in the blank: The _______ is a financial document that lists a company’s assets, liabilities, and equity at a specific point in time.

Answer 22

balance sheet

Question 23

Multiple Choice: Which of the following is a qualitative research method? A) Surveys B) Experiments C) Focus Groups D) All of the above

Answer 23

C) Focus Groups

Question 24

What does ‘return on investment’ (ROI) measure?

Answer 24

The profitability of an investment relative to its cost.

Question 25

True or False: Networking is an important aspect of business development.

Answer 25

True

Question 26

Short Answer: What is the purpose of a marketing strategy?

Answer 26

To define how a business will attract and retain customers.

Question 27

What is the primary purpose of a business plan?

Answer 27

To outline the goals, strategies, and financial projections of a business.

Question 28

True or False: A SWOT analysis includes strengths, weaknesses, opportunities, and threats.

Answer 28

True

Question 29

Fill in the blank: The four Ps of marketing are Product, Price, Place, and ______.

Answer 29

Promotion

Question 30

What does the acronym ROI stand for in business?

Answer 30

Return on Investment

Question 31

What is a target market?

Answer 31

A specific group of consumers at which a company aims its products and services.

Question 32

Multiple Choice: Which of the following is a type of business ownership? A) Corporation B) Partnership C) Sole Proprietorship D) All of the above

Answer 32

D) All of the above

Question 33

What is the definition of cash flow?

Answer 33

The total amount of money being transferred into and out of a business.

Question 34

True or False: A balance sheet shows a company's revenues and expenses over a specific period.

Answer 34

False

Question 35

What is market segmentation?

Answer 35

The process of dividing a market into distinct groups of buyers with different needs or behaviors.

Question 36

Fill in the blank: A ______ is a detailed examination of a company's financial performance.

Answer 36

financial analysis

Question 37

What is a unique selling proposition (USP)?

Answer 37

A factor that differentiates a product from its competitors.

Question 38

Multiple Choice: Which document outlines the terms of a loan? A) Memorandum B) Contract C) Agreement D) Prospectus

Answer 38

B) Contract

Question 39

What is an entrepreneur?

Answer 39

An individual who creates and manages a business, taking on financial risks in the hope of profit.

Question 40

True or False: Market research is only conducted after a product is launched.

Answer 40

False

Question 41

What does the term 'brand equity' refer to?

Answer 41

The value added to a product by having a well-known brand name.

Question 42

Fill in the blank: ______ is the process of promoting and selling products or services.

Answer 42

Marketing

Question 43

What is a business model?

Answer 43

A plan for how a company creates, delivers, and captures value.

Question 44

Multiple Choice: Which of the following is a non-profit organization? A) Charity B) Corporation C) Partnership D) LLC

Answer 44

A) Charity

Question 45

What is an income statement?

Answer 45

A financial report that shows a company's revenues and expenses over a specific period.

Question 46

True or False: The primary goal of a business is to maximize shareholder value.

Answer 46

True

Question 47

What is supply chain management?

Answer 47

The management of the flow of goods and services from raw materials to final products.

Question 48

Fill in the blank: A ______ strategy focuses on increasing sales of existing products in existing markets.

Answer 48

market penetration

Question 49

What does the term 'competitive advantage' mean?

Answer 49

A condition that allows a company to produce goods or services better or more cheaply than its rivals.

Question 50

Multiple Choice: Which of the following is NOT a type of market structure? A) Monopoly B) Oligopoly C) Duopoly D) Partnership

Answer 50

D) Partnership

Question 51

What is the purpose of a marketing plan?

Answer 51

To outline a company's strategy for reaching its target market and achieving its marketing objectives.

Question 52

True or False: A franchise is a type of business model that allows individuals to operate a business under an established brand.

Answer 52

True