A level Business past paper
component 2 ; business analysis
and strategy Questions and
Answers Updated 2026-2027
DefineBtheBtermBm-commerce.B-BAnswerBM-
commerceBisBtheBbuyingBandBsellingBofBgoodsBandBservicesBonlineB(1)BthroughBwirele
ssBhandheldBdevicesBsuchBasBmobileBphones.B(1)
PercentageBchangeB-BAnswerBnew-old/oldBxB100
CalculateBtheBannualBdepreciationB-BAnswerB(OriginalBcostB-
BResidualBValue)B/BLifespanBofBassetB(years)
CalculateBtheBaverageBrateBofBreturnB-
BAnswerBNetBreturnB(profit)BperBannumB/BInitialBcostBofBtheBinvestmentBx100
NetBprofitB=BGrossBprofitB-BTotalBexpenses
TotalBcumulativeBcashBflowB=B
TotalBprofitB=BTotalBRevenueB-BTotalBExpenses
AverageBannualBprofitB=BTotalBprofitBoverBInvestmentBPeriodB/BNumberBofBYears.
CalculateBtheBgearingBratioB-BAnswerBLongBtermBliabilitiesB(non-
currentBliabilities)/BCapitalBEmployedBx100B
CapitalBEmployed=BLongBtermBliabilitiesB+BShareholders'Bfunds
OutlineBwhatBisBmeantBbyBaBtacticalBdecisionB-
BAnswerBTacticalBdecisionsBtendBtoBbeBshortBtoBmediumBtermBandBshouldBaimBtoBi
mplementBstrategicBdecisions.BTheyBareBusuallyBcarriedBoutBbyBmiddleBmanagementBa
ndBareBlessBcomplexBandBmoreBflexibleBthanBstrategicBdecisions.
component 2 ; business analysis
and strategy Questions and
Answers Updated 2026-2027
DefineBtheBtermBm-commerce.B-BAnswerBM-
commerceBisBtheBbuyingBandBsellingBofBgoodsBandBservicesBonlineB(1)BthroughBwirele
ssBhandheldBdevicesBsuchBasBmobileBphones.B(1)
PercentageBchangeB-BAnswerBnew-old/oldBxB100
CalculateBtheBannualBdepreciationB-BAnswerB(OriginalBcostB-
BResidualBValue)B/BLifespanBofBassetB(years)
CalculateBtheBaverageBrateBofBreturnB-
BAnswerBNetBreturnB(profit)BperBannumB/BInitialBcostBofBtheBinvestmentBx100
NetBprofitB=BGrossBprofitB-BTotalBexpenses
TotalBcumulativeBcashBflowB=B
TotalBprofitB=BTotalBRevenueB-BTotalBExpenses
AverageBannualBprofitB=BTotalBprofitBoverBInvestmentBPeriodB/BNumberBofBYears.
CalculateBtheBgearingBratioB-BAnswerBLongBtermBliabilitiesB(non-
currentBliabilities)/BCapitalBEmployedBx100B
CapitalBEmployed=BLongBtermBliabilitiesB+BShareholders'Bfunds
OutlineBwhatBisBmeantBbyBaBtacticalBdecisionB-
BAnswerBTacticalBdecisionsBtendBtoBbeBshortBtoBmediumBtermBandBshouldBaimBtoBi
mplementBstrategicBdecisions.BTheyBareBusuallyBcarriedBoutBbyBmiddleBmanagementBa
ndBareBlessBcomplexBandBmoreBflexibleBthanBstrategicBdecisions.