A LEVEL BUSINESS EXAM QUESTION
AND WELL ELABORATED SOLUTIONS
(LATES UPDATES 2024/2025)
What is a benefit of sales forecasting to a supermarket - ANSWER -It
will help in managing inventory by optimising stock levels to reduce
over stocking which can help in cost savings and increased in
customer satisfaction
What is Sales forecasting - ANSWER -It is a quantitative estimate on
sales demand in the future
What is formula for Net cash flow - ANSWER -Total Cash inflows -
Total Cash outflows
How to Calculate Closing Balance - ANSWER -Net cash flow +
opening balance
,What is just in time production? - ANSWER -It aims to remove the
need of inventory by managing the flow of raw materials, work in
progress and finished goods. So items are available exactly when
they are needed for production and not before
What is Cash Flow forecast - ANSWER -It is a prediction of the future
cash inflows and outflows a business expects over a set period.
What is the formula to calculate break even - ANSWER -1.Find the
contribution per unit
2.Fixed cost /contribution per unit
What is the formula to calculate contribution per unit and meaning -
ANSWER -Selling price-Variable Cost
It is the cost of producing each product that you sell
How to Calculate profit per employee - ANSWER -Total profit in a
period/Average num of employees in the period
,Formula for Total Profit - ANSWER -total revenue - total cost
How to Calculate Total number of shares - ANSWER -Market
Capitilisation/Share price
How to Calculate Total Dividends paid - ANSWER -Total number of
shares × Dividends per share
What is Market research - ANSWER -It is a way to obtain information
to make marketing decisions or prepare a marketing plan. It has two
approaches: Primary and Secondary
How to Calculate operating profit/Net profit - ANSWER -Revenue-All of
the Expense(Cost of sales+Expense)
OR
Grossprofit-Overhead/Expense
, How to Calculate Gross profit - ANSWER -Total revenue - cost of
goods sold
How to Calculate Operating profit margin - ANSWER -Operating profit
/ revenue x 100
What is the benefits of segmentation for a toy store having boy and
girl toys - ANSWER --This is an example of demographic
segmentation based on gender such as cars and dolls.
-By doing this it can lead to effective marketing strategies by deciding
on a particular marketing mix
-Example:Physical environment where the toy shop can have a
pink/blue room for boys/girls with that certain toy.
-This can attract customers which increases customer satisfaction
leading to customer loyalty so an increase in sales
What is the effect on a country export if it's currency weakens -
ANSWER --It depreciates
AND WELL ELABORATED SOLUTIONS
(LATES UPDATES 2024/2025)
What is a benefit of sales forecasting to a supermarket - ANSWER -It
will help in managing inventory by optimising stock levels to reduce
over stocking which can help in cost savings and increased in
customer satisfaction
What is Sales forecasting - ANSWER -It is a quantitative estimate on
sales demand in the future
What is formula for Net cash flow - ANSWER -Total Cash inflows -
Total Cash outflows
How to Calculate Closing Balance - ANSWER -Net cash flow +
opening balance
,What is just in time production? - ANSWER -It aims to remove the
need of inventory by managing the flow of raw materials, work in
progress and finished goods. So items are available exactly when
they are needed for production and not before
What is Cash Flow forecast - ANSWER -It is a prediction of the future
cash inflows and outflows a business expects over a set period.
What is the formula to calculate break even - ANSWER -1.Find the
contribution per unit
2.Fixed cost /contribution per unit
What is the formula to calculate contribution per unit and meaning -
ANSWER -Selling price-Variable Cost
It is the cost of producing each product that you sell
How to Calculate profit per employee - ANSWER -Total profit in a
period/Average num of employees in the period
,Formula for Total Profit - ANSWER -total revenue - total cost
How to Calculate Total number of shares - ANSWER -Market
Capitilisation/Share price
How to Calculate Total Dividends paid - ANSWER -Total number of
shares × Dividends per share
What is Market research - ANSWER -It is a way to obtain information
to make marketing decisions or prepare a marketing plan. It has two
approaches: Primary and Secondary
How to Calculate operating profit/Net profit - ANSWER -Revenue-All of
the Expense(Cost of sales+Expense)
OR
Grossprofit-Overhead/Expense
, How to Calculate Gross profit - ANSWER -Total revenue - cost of
goods sold
How to Calculate Operating profit margin - ANSWER -Operating profit
/ revenue x 100
What is the benefits of segmentation for a toy store having boy and
girl toys - ANSWER --This is an example of demographic
segmentation based on gender such as cars and dolls.
-By doing this it can lead to effective marketing strategies by deciding
on a particular marketing mix
-Example:Physical environment where the toy shop can have a
pink/blue room for boys/girls with that certain toy.
-This can attract customers which increases customer satisfaction
leading to customer loyalty so an increase in sales
What is the effect on a country export if it's currency weakens -
ANSWER --It depreciates
