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9609 Cambridge A Level Business Complete Glossary Questions and Answers Updated 2026

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9609 Cambridge A Level Business Complete Glossary Questions and Answers Updated 2026

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9609 Cambridge A Level
Business Complete
Glossary Questions and
Answers Updated 2026
ABgoodB-BAnswerBABphysicalBproduct



ABserviceB-BAnswerBAnBintangibleBitem



ABproductB-BAnswerBMoreBgeneralBtermBwhichBincludesBgoodsBandBservices



GrossBDomesticBProductB(GDP)B-
BAnswerBMeasuresBtheBtotalBvalueBofBtheBproductionBofBanBeconomyB(that'sBallBaBc
ountry'sBbusinesses)BoverBaBperiodBofBtime,BnormallyBoneByear.



MissionBstatementB-
BAnswerBSetsBoutBaBbusiness'sBoverallBpurposeBtoBdirectBandBstimulateBtheBentireBor
ganisation



ObjectivesB-BAnswerBMedium-BtoBlong-
termBgoalsBestablishedBtoBcoordinateBtheBbusiness



CashBflowB-
BAnswerBTheBamountBofBmoneyBmovingBintoBandBoutBofBaBbusinessBoverBaBperiodB
ofBtime



DiversificationB-
BAnswerBObjectiveBwhereBaBfirmBproducesBanBincreasedBrangeBofBunrelatedBgoodsBa
ndBservices

,StakeholdersB-
BAnswerBIndividualsBorBgroupsB(suchBasBemployees,BcustomersBandBlocalBresidents)B
whoBhaveBanBinterestBinBaBbusiness



RevenuesB-
BAnswerBEarningsBorBincomeBgeneratedBbyBaBfirmBasBaBresultBofBitsBtradingBactivitie
s



ProfitB-
BAnswerBTheBsurplusBofBtotalBrevenueBoverBtotalBcostBforBaBbusinessBoverBaBtrading
Bperiod



FixedBcostsB-
BAnswerBCostsBthatBdoBnotBalterBwhenBtheBbusinessBaltersBitsBlevelBofBoutput.BExa
mplesBincludeBrentBandBrates.



VariableBcostsB-
BAnswerBAlterBdirectlyBwithBtheBbusiness'sBlevelBofBoutput,Be.g.BfuelBcosts



TotalBcostsB-BAnswerBFixedBcostsBandBvariableBcostsBaddedBtogether



AverageBcostsB-
BAnswerBTotalBcostsBofBproductionBdividedBbyBtheBlevelBofBproductionBorBoutputBtoB
giveBtheBcostBofBaBsingleBunitBofBoutput



SoleBtraderB-
BAnswerBABbusinessBthatBisBownedBandBmanagedBbyBoneBpersonBbutBitBmayBemplo
yBotherBpeople



UnlimitedBliabilityB-
BAnswerBOccursBwhenBanBindividualBorBgroupBofBindividualsBisBresponsibleBforBallBth
eBactionsBofBtheirBbusiness.BWithBsoleBtraders,BthereBisBnoBdistinctionBinBlawBbetwee

,nBtheBindividualBandBtheBbusinessBsoBtheyBcouldBloseBtheirBpersonalBassetsBifBtheBb
usinessBhasBfinancialBproblems



CompanyB-
BAnswerBABbusinessBorganisationBthatBhasBitsBownBlegalBidentityBandBthatBhasBlimite
dBliability



IncorporationB-
BAnswerBTheBprocessBofBestablishingBaBbusinessBasBaBseparateBlegalBidentityBthatBall
owsBitBtoBbenefitBfromBlimitedBliability



ShareholderB-BAnswerBInvestorBinBandBoneBofBtheBownersBofBaBcompany



LimitedBliabilityB-
BAnswerBInBtheBeventBofBfinancialBdifficulties,BtheBpersonalBbelongingsBofBshareholde
rsBareBsafe



DividendsB-
BAnswerBABshareBinBtheBprofitBofBaBcompanyBthatBareBdistributedBtoBtheBholdersBof
BcertainBtypesBofBcompanyBshares



MarketBcapitalisationB-
BAnswerBTotalBvalueBofBtheBissuedBsharesBofBaBpublicBlimitedBcompany



TakeoverBorBacquisitionB-
BAnswerBOccursBwhenBoneBcompanyBacquiresBcontrolBofBanotherBbyBbuyingBmoreBth
anB50%BofBitsBshareBcapital



PrivatisationB-
BAnswerBTheBprocessBunderBwhichBtheBstateBsellsBbusinessesBthatBitBhasBpreviouslyB
ownedBandBmanagedBtoBprivateBindividualsBandBbusinesses.

, MarketBconditionsB-
BAnswerBRefersBtoBnumberBofBfeaturesBofBaBmarketBsuchBasBtheBlevelBofBsales,Bthe
BrateBatBwhichBtheyBareBchangingBandBtheBnumberBandBstrengthBofBcompetitors



DemandB-
BAnswerBABtermBusedBbyBeconomistsBtoBindicateBtheBamountBofBaBparticularBgoodB
orBserviceBthatBconsumersBorBorganisationsBwant,BandBcanBafford,BtoBbuyBatBgivenBp
rices.BItBshowsBtheBlevelBofBsalesBthatBbusinessesBcanBexpect.



InterestBratesB-BAnswerBTheBpriceBofBborrowedBmoney



FairBtradeB-
BAnswerBABsocialBmovementBthatBexistsBtoBpromoteBimprovedBtradingBtermsBandBlivi
ngBconditionsBforBproducersBofBproductsBinBless-developedBcountries



SustainableBproductionB-
BAnswerBOccursBwhenBtheBsupplyBofBaBproductBdoesBnotBimposeBcostsBonBfutureBg
enerationsBbyBforBexample,BdepletingBnon-renewableBresources



LeadershipB-
BAnswerBInvolvesBruling,BguidingBandBinspiringBotherBpeopleBwithinBtheBorganizationB
inBpursuitBofBagreedBobjectives



ManagementB-
BAnswerBInvolvesBplanning,Borganising,BdirectingBandBcontrollingBallBorBpartBofBaBbusi
ness



AuthorityB-BAnswerBTheBpowerBorBabilityBtoBcarryBthroughBanBaction



DelegationB-BAnswerBPassingBauthorityBdownBtheBorganizationBhierarchy.

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Uploaded on
October 4, 2026
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Type
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