Understanding Business Activity module quiz: O-Level Business Studies (SEAB 7085) quiz

The total cost of running a business for a year

The difference between the selling price of a product and the cost of the bought-in materials used to make it

The amount of tax a business pays on its profit

The number of products a business sells each day

$110

$30

$50

$80

The money a business borrows from a bank

The profit a business makes in a year

The total cost of materials and wages

The next best alternative given up when a choice is made

Land, labour, capital, enterprise

Land, money, machines, managers

Profit, price, place, promotion

Primary, secondary, tertiary, quaternary

Secondary

Primary

Tertiary

Public

A list of a firm's competitors

The way primary, secondary and tertiary activity link together to turn raw materials into finished goods reaching the consumer

The order in which staff are promoted

A method of setting prices

Because manufacturing stops completely

Because the primary sector grows fastest

Because spending shifts toward services and some manufacturing moves to lower-cost countries, so the tertiary sector grows in relative importance

Because governments ban factories

Avoiding all risk

Working only when told to by a manager

Refusing to plan ahead

Willingness to take calculated risks, show initiative and be determined

To set out the business idea, objectives, market, finance and forecasts so the owner can plan and persuade lenders or investors

To replace the need for any finance

To list every customer the business will ever have

To guarantee the business will succeed

Number of employees

The colour of its logo

Capital employed

Value of output or sales (turnover)

Internal growth means hiring managers; external growth means hiring workers

Internal growth only happens overseas

Internal (organic) growth comes from expanding the firm's own operations; external growth comes from merging with or taking over another business

There is no real difference

Because small firms are always more profitable

Because small firms pay no tax

Because the law prevents small firms from growing

Because the owner may want to keep control, the market may be a small niche, and growth brings costs and risks

Any group with an interest in the business, such as workers, customers, suppliers, the government and the local community

Only the owner

Only the customers

Only the government

They never conflict because both want profit

Owners may want to cut costs by, for example, polluting, while the community wants a clean, safe environment

The community always controls the business

Owners and the community share exactly the same goals

Maximising global market share

Paying the highest dividends in the industry

Survival

Owning factories in every country