BTEC business level 2 finance unit 2 Exam
Questions and Answers
Fixed Costs - - -
correct answer ✅Costs that do not change with output- they have
to be paid regardless of how much a business produces
Variable Costs - - -
correct answer ✅Costs that do change with output- these costs
are directly linked to the product or service
start up costs - - -
correct answer ✅Costs that a business has to pay when the
business sets up. For examples, fixtures and fittings
Operating costs - - -
correct answer ✅Costs that have to be paid for the day to day
running of the business. For example, heat, light, rent etc...
revenue - - -
correct answer ✅This is the money that comes into the business. It
is also known as turnover or revenue
Questions and Answers
Fixed Costs - - -
correct answer ✅Costs that do not change with output- they have
to be paid regardless of how much a business produces
Variable Costs - - -
correct answer ✅Costs that do change with output- these costs
are directly linked to the product or service
start up costs - - -
correct answer ✅Costs that a business has to pay when the
business sets up. For examples, fixtures and fittings
Operating costs - - -
correct answer ✅Costs that have to be paid for the day to day
running of the business. For example, heat, light, rent etc...
revenue - - -
correct answer ✅This is the money that comes into the business. It
is also known as turnover or revenue
