AQA A LEVEL BUSINESS –
DEFINITIONS FINAL EXAM 2026
WITH VERIFIED ANSWERS
Branding - ANSWER --how consumers recognise and identify with a product
Break-Even - ANSWER --The point when total sales is equal to total costs
Budget - ANSWER --Income and costs predicted over a period of time
Adverse varience - ANSWER --When actual costs are higher than budget costs
Autocratic - ANSWER --When the manager makes all the decisions
Bank overdraft - ANSWER --The amount that can be overspent on a bank account (be
overdrawn)
Blake mouton grid - ANSWER --The concern for people and production a manager has
, Boston matrix - ANSWER --Product portfolio analysis of a business into 4 categories
Buffer inventory - ANSWER --Minimum amount of stock a business requires to operate
Capacity utilisation - ANSWER --The amount of total capacity is being used
Cash flow - ANSWER --Cash moving into and out of a business
Cash flow forecast - ANSWER --The projection of likely cash inflows and outflows
Competition - ANSWER --Other businesses that compete for a share in the same market
Competitiveness - ANSWER --The business' ability to offer a better product than its
competitors (measured in customers)
Hierarchy - ANSWER --The structures and levels of management and supervision within a
business
Income elasticity of demand - ANSWER --The responsiveness of demand to a change of
income
Inventory control - ANSWER --Process that ensures that the business has sufficient but
not too much stock
Job design - ANSWER --The way which tasks are combined to form a job
DEFINITIONS FINAL EXAM 2026
WITH VERIFIED ANSWERS
Branding - ANSWER --how consumers recognise and identify with a product
Break-Even - ANSWER --The point when total sales is equal to total costs
Budget - ANSWER --Income and costs predicted over a period of time
Adverse varience - ANSWER --When actual costs are higher than budget costs
Autocratic - ANSWER --When the manager makes all the decisions
Bank overdraft - ANSWER --The amount that can be overspent on a bank account (be
overdrawn)
Blake mouton grid - ANSWER --The concern for people and production a manager has
, Boston matrix - ANSWER --Product portfolio analysis of a business into 4 categories
Buffer inventory - ANSWER --Minimum amount of stock a business requires to operate
Capacity utilisation - ANSWER --The amount of total capacity is being used
Cash flow - ANSWER --Cash moving into and out of a business
Cash flow forecast - ANSWER --The projection of likely cash inflows and outflows
Competition - ANSWER --Other businesses that compete for a share in the same market
Competitiveness - ANSWER --The business' ability to offer a better product than its
competitors (measured in customers)
Hierarchy - ANSWER --The structures and levels of management and supervision within a
business
Income elasticity of demand - ANSWER --The responsiveness of demand to a change of
income
Inventory control - ANSWER --Process that ensures that the business has sufficient but
not too much stock
Job design - ANSWER --The way which tasks are combined to form a job
