EDEXCEL A LEVEL BUSINESS PAPER 2 EXAM
QUESTIONS AND CORRECT ANSWERS 2025
LATEST//ALREADY GRADED A
What are the 4 types of economies of scale? - (answer)technical economies of
scale, purchasing economies of scale, managerial economies of scale, economies
of scope, diseconomies of scale
economics, entrepreneurship, and international business.1.2. Structure of Business ExamsBusiness exams are often a mix of theoretical knowledge and practical application. Depending on the subject area, these exams
can vary significantly in format. Common types of business exams and Writing
Advantage of using personal savings? - (answer)Will not owe anybody the money
back
What is a source of finance? - (answer)
What is limited liability? - (answer)If the company falls into debt you only pay
back what you invested
What is unlimited liability? - (answer)The owner is personally and fully responsible
for all losses and debts of the business
Advantage of having a business plan? - (answer)Helps finance providers assess the
business model;
Encourages analysis of the competitive position of the business and the market
attractiveness
In what market would a cash flow forecast be useless in? - (answer)Dynamic
Markets
, Why may a cash flow forecast be a benefit for business'? - (answer)They will know
if they are able to pay suppliers back;
Advanced warnings of cash shortages
What is venture capital? - (answer)It is money invested by outsiders
What are the dangers of sales forecasting? - (answer)Business' operating in
dynamic markets will find it more difficult to forecast accurately beyond a short
period of time
what is job production? - (answer)Making one off, specialised products for each
customer
what is batch production? - (answer)where a number of similar items are
produced in a set or group
economics, entrepreneurship, and international business.1.2. Structure of Business ExamsBusiness exams are often a mix of theoretical knowledge and practical application. Depending on the subject area, these exams
can vary significantly in format. Common types of business exams and Writing
what is flow production? - (answer)Involves identical products being made on an
assembly line. The product is made in stages, with parts being added as it moves
along the assembly line
what is cell production? - (answer)production divided into sets of tasks, each set
completed by a work group
QUESTIONS AND CORRECT ANSWERS 2025
LATEST//ALREADY GRADED A
What are the 4 types of economies of scale? - (answer)technical economies of
scale, purchasing economies of scale, managerial economies of scale, economies
of scope, diseconomies of scale
economics, entrepreneurship, and international business.1.2. Structure of Business ExamsBusiness exams are often a mix of theoretical knowledge and practical application. Depending on the subject area, these exams
can vary significantly in format. Common types of business exams and Writing
Advantage of using personal savings? - (answer)Will not owe anybody the money
back
What is a source of finance? - (answer)
What is limited liability? - (answer)If the company falls into debt you only pay
back what you invested
What is unlimited liability? - (answer)The owner is personally and fully responsible
for all losses and debts of the business
Advantage of having a business plan? - (answer)Helps finance providers assess the
business model;
Encourages analysis of the competitive position of the business and the market
attractiveness
In what market would a cash flow forecast be useless in? - (answer)Dynamic
Markets
, Why may a cash flow forecast be a benefit for business'? - (answer)They will know
if they are able to pay suppliers back;
Advanced warnings of cash shortages
What is venture capital? - (answer)It is money invested by outsiders
What are the dangers of sales forecasting? - (answer)Business' operating in
dynamic markets will find it more difficult to forecast accurately beyond a short
period of time
what is job production? - (answer)Making one off, specialised products for each
customer
what is batch production? - (answer)where a number of similar items are
produced in a set or group
economics, entrepreneurship, and international business.1.2. Structure of Business ExamsBusiness exams are often a mix of theoretical knowledge and practical application. Depending on the subject area, these exams
can vary significantly in format. Common types of business exams and Writing
what is flow production? - (answer)Involves identical products being made on an
assembly line. The product is made in stages, with parts being added as it moves
along the assembly line
what is cell production? - (answer)production divided into sets of tasks, each set
completed by a work group
