pg 4-27

Question 1

Premises

Answer 1

buildings and land used by a shop or business

Question 2

consumer goods

Answer 2

goods and services sold to ordinary people(consumers) rather than businesses

Question 3

producer goods

Answer 3

goods and services produced by one business for another

Question 4

needs

Answer 4

basic requirements for human survival

Question 5

wants

Answer 5

peoples desire for goods and services

Question 6

infinite

Answer 6

without limits in space or time

Question 7

scarce

Answer 7

resources with limited liability

Question 8

private sector

Answer 8

business organizations owned by individuals or groups of individuals

Question 9

stakeholder

Answer 9

an individual or group with an interest in the operation of a business

Question 10

entrepreneur

Answer 10

person who takes risks and sets up businesses

Question 11

dispute

Answer 11

serious argument or disagreement

Question 12

EBITDA

Answer 12

earnings before interest,tax, depreciation and amortisation

Question 13

objectives

Answer 13

goals or targets set by a business

Question 14

executives

Answer 14

managers in an organisation or company who help make important decisions

Question 15

diversify

Answer 15

increasing the range of goods or serves it produces

Question 16

financial return

Answer 16

monetary return

Question 17

profit maximisation

Answer 17

making as much profit as possible in a given time period

Question 18

shareholders

Answer 18

owners of limited companies

Question 19

dividends

Answer 19

share of the profit paid to shareholders in a company

Question 20

profit satisfying

Answer 20

making enough profit to satisfy the needs of business owner(s)

Question 21

automation

Answer 21

use of computers and machines instead of people to do a job

Question 22

economies of scale

Answer 22

financial advantages(falling average costs)of producing something in very large quantities

Question 23

large business

Answer 23

more than 250 people

Question 24

small business

Answer 24

employs fewer than 50 people

Question 25

revenue

Answer 25

profit made from the sale of the goods and services

Question 26

innovator

Answer 26

someone who introduces changes and new ideas

Question 27

labour

Answer 27

people employed in a business/used in production

Question 28

sole trader or sole proprietor

Answer 28

business owned by a single person

Question 29

partnership

Answer 29

business owned by between 2 and 20 people

Question 30

deed of partnership

Answer 30

binding legal document that states the formal rights and partners

Question 31

limited partnership

Answer 31

partnership where some partners contribute capital but do not take part in the running of the business

Question 32

limited liability

Answer 32

business owner is only liable for the original amount of money invested in the business

Question 33

audits

Answer 33

official examination of a company's financial records in order

Question 34

franchise

Answer 34

structure in which a business allows another operator to trade under their name

Question 35

merchandise

Answer 35

goods that are being sold

Question 36

social enterprise

Answer 36

business that aims to improve human or environmental well being

Question 37

cooperative

Answer 37

company, factory or organisation in which all the people working there own an equal share of it

Question 38

consumer cooperative

Answer 38

owned by its customers

Question 39

retail cooperative

Answer 39

cooperative of retail members, who often work together to assert their purchasing power

Question 40

work cooperative

Answer 40

cooperative that is owned by its employees

Question 41

charities

Answer 41

organisations that give money, goods or help to people who are poor, sick or in need

Question 42

venture capitalists

Answer 42

specialist investors who provide money for a business purposes, often to new business