AQA A level business unit 7 Question Paper & Mark scheme [VERIFIED]

AQA A level business unit 7 Question Paper & Mark scheme [VERIFIED] SMART objectives - ANS specific, measureable, agreed, realistic, time bound. Strategy - ANS long-term plans to achieve the mission Tactics - ANS short term everyday actions Strategic decision making - ANS decisions based on the direction of the business Functional decision making - ANS decisions based on what departments should do Aims - ANS generalised statement of where business is are heading Balance Sheet - ANS Shows an organisation's assets and liabilities Assets - ANS items that the business owns. Current assets - ANS Assets that will be turned into cash within one year. Non-current assets - ANS What the business owns with a lifespan of more than a year. Current liabilities - ANS Short-term debts of the business Tangible assets - ANS non-current assets that exist physically. Intangible assets - ANS non-current assets that are not physical such as patents Receivable (debtors) - ANS money owed to the company by its customers from sales on credit. Inventories - ANS stock, work-in-progress, finished goods. Liabilities - ANS debts owed by the business Current liabilities - ANS debts due for repayment within one year. Non-current liabilities - ANS debts due for repayment after more than a year. Payables - ANS debts owed to other businesses Working capital - ANS current assets - current liabilities Net current assets formula - ANS current assets - current liabilities Current ratio - ANS current assets: current liabilities Total equity (capital) - ANS funds provided by shareholders Capital and reserves - ANS Shows how assets have been financed. Share capital - ANS funds provided through the purchase of shares. Reserves and retained earnings - ANS profit reinvested into the business Capital employed formula - ANS total equity + non-current liabilities. Income statement - ANS income and expenditure of a business over a period of a year. Revenue - ANS Turnover or sales income generated from sales. Cost of sales - ANS Costs linked directly to the production of the product Gross profit - ANS Revenue minus cost of sales.