AQA A LEVEL BUSINESS PAPER 1 REVISION
NEWEST EXAM 2025 WITH MULTIPLE
CHOICE OF QUESTIONS AND DETAILED
SOLVED SOLUTIONS ALREADY GRADED A+
AND 100% GUARANTEE PASS (JUST
RELEASED!!!!!)
Sole traders - CORRECT ANSWER-a business that is owned and
operated by one person
Private Limited Company (Ltd) - CORRECT ANSWER-A small to
medium sized company, owned by shareholders who have
limited liability. The company cannot sell its shares to the
general public.
Private Limited Company Advantages - CORRECT ANSWER--Limited
liability
-Additional capital can be raised by selling shares (not to the
general public)
-Separate legal existence to the owner
-Higher business status to sole trader
Private limited company Disadvantages - CORRECT ANSWER--You
have to publish the account information
-You need two share of £1 each
,Public limited company (plc) - CORRECT ANSWER-A limited
company with more that £50,000 of share capital. Any member
of the public can buy shares. Public companies must publish
more detailed accounts
Public limited company Advantages - CORRECT ANSWER--Raising
capital through public issue of shares
-Offering shares to the public spreads risk
-Banks are more likely to lend money to PLC's
-More growth and expansion opportunities
-Having PLC at the end of your business name gives a better
image
-Shares are more easily transferred so shareholders are happier
-Separate legal entity to the owner
public limited company Disadvantages - CORRECT ANSWER--More
regulations that could increase costs
-Higher level of transparency needed
-Must start with £50,000 share capital
Private sector organisations - CORRECT ANSWER-Organisations
owned by individuals or companies
Public sector organisations - CORRECT ANSWER-Businesses owned
by the government.
,Non-profit organisations - CORRECT ANSWER-Businesses with a
motive other than profit, may be to provide a social benefit or
service to society or to support a cause.
Share capital - CORRECT ANSWER-The total value of capital raised
from shareholders by the issue of shares
Role of Shareholders - CORRECT ANSWER-to raise important issues
with the board directors and raise funds
Why shareholders invest - CORRECT ANSWER--Annual dividend
payments
-A rise in the value of shares
Market capitalisation - CORRECT ANSWER-Number of issued shares
x current share price
Influences on the price of shares - CORRECT ANSWER--The profit
after tax of the company x the value investors place on on those
earnings
Significance of share price changes - CORRECT ANSWER-High =
cheap and easy to obtain more share capital
Low = unlikely to raise any extra share capital
What are the 6 external factors affecting businesses - CORRECT
ANSWER--Market conditions
-Competition
, -Changes in household incomes
-Changes in interest rates
-Demographic factors
-Environmental issues
Market Conditions - CORRECT ANSWER--The number of competitors
in a particular market
-The intensity of competitiveness
-Total market available
-The rate at which the market is growing
Competition - CORRECT ANSWER-The tighter the economic and
market conditions, the greater the competitive pressures tend
to be
Factors that effect household incomes - CORRECT ANSWER--Changes
in the real income of the main income earner
-The number of people in the household that work
-The impact of government decisions on taxation and benefits
Changes in interest rates - CORRECT ANSWER-If interest rates go up,
businesses and individuals spend less. If interest rates go down,
businesses and individuals spend more.
Demographic factors - CORRECT ANSWER--Population size
-Age
-Gender
NEWEST EXAM 2025 WITH MULTIPLE
CHOICE OF QUESTIONS AND DETAILED
SOLVED SOLUTIONS ALREADY GRADED A+
AND 100% GUARANTEE PASS (JUST
RELEASED!!!!!)
Sole traders - CORRECT ANSWER-a business that is owned and
operated by one person
Private Limited Company (Ltd) - CORRECT ANSWER-A small to
medium sized company, owned by shareholders who have
limited liability. The company cannot sell its shares to the
general public.
Private Limited Company Advantages - CORRECT ANSWER--Limited
liability
-Additional capital can be raised by selling shares (not to the
general public)
-Separate legal existence to the owner
-Higher business status to sole trader
Private limited company Disadvantages - CORRECT ANSWER--You
have to publish the account information
-You need two share of £1 each
,Public limited company (plc) - CORRECT ANSWER-A limited
company with more that £50,000 of share capital. Any member
of the public can buy shares. Public companies must publish
more detailed accounts
Public limited company Advantages - CORRECT ANSWER--Raising
capital through public issue of shares
-Offering shares to the public spreads risk
-Banks are more likely to lend money to PLC's
-More growth and expansion opportunities
-Having PLC at the end of your business name gives a better
image
-Shares are more easily transferred so shareholders are happier
-Separate legal entity to the owner
public limited company Disadvantages - CORRECT ANSWER--More
regulations that could increase costs
-Higher level of transparency needed
-Must start with £50,000 share capital
Private sector organisations - CORRECT ANSWER-Organisations
owned by individuals or companies
Public sector organisations - CORRECT ANSWER-Businesses owned
by the government.
,Non-profit organisations - CORRECT ANSWER-Businesses with a
motive other than profit, may be to provide a social benefit or
service to society or to support a cause.
Share capital - CORRECT ANSWER-The total value of capital raised
from shareholders by the issue of shares
Role of Shareholders - CORRECT ANSWER-to raise important issues
with the board directors and raise funds
Why shareholders invest - CORRECT ANSWER--Annual dividend
payments
-A rise in the value of shares
Market capitalisation - CORRECT ANSWER-Number of issued shares
x current share price
Influences on the price of shares - CORRECT ANSWER--The profit
after tax of the company x the value investors place on on those
earnings
Significance of share price changes - CORRECT ANSWER-High =
cheap and easy to obtain more share capital
Low = unlikely to raise any extra share capital
What are the 6 external factors affecting businesses - CORRECT
ANSWER--Market conditions
-Competition
, -Changes in household incomes
-Changes in interest rates
-Demographic factors
-Environmental issues
Market Conditions - CORRECT ANSWER--The number of competitors
in a particular market
-The intensity of competitiveness
-Total market available
-The rate at which the market is growing
Competition - CORRECT ANSWER-The tighter the economic and
market conditions, the greater the competitive pressures tend
to be
Factors that effect household incomes - CORRECT ANSWER--Changes
in the real income of the main income earner
-The number of people in the household that work
-The impact of government decisions on taxation and benefits
Changes in interest rates - CORRECT ANSWER-If interest rates go up,
businesses and individuals spend less. If interest rates go down,
businesses and individuals spend more.
Demographic factors - CORRECT ANSWER--Population size
-Age
-Gender
