Putting a Business Idea into Practice (Edexcel GCSE Business)

Read the following extract before answering.

Evaluate the importance of achieving non-financial objectives for the success of That Feeling. You should use the information provided as well as your knowledge of business.

Read the following extract before answering.

In order to improve its cash flow position, Last Course Patisserie is considering two options:

Option 1: reducing the number of workers it employs

Option 2: increasing the average selling price of its desserts

Justify which one of these two options Last Course Patisserie should choose.

Explain one possible non-financial aim an entrepreneur may have when starting a small business.

Figure 1 shows information about the financial performance of a business from January to March.

Figure 1

Using the information in Figure 1, calculate the total profit for the period January to March. You are advised to show your workings.

Read the following extract before answering.

Last Course Patisserie has the following financial information for the month of April.

Table 2

Using the information in Table 2, calculate the level of output required to break-even in April. You are advised to show your workings.

Read the following extract before answering.

In May suppliers increased the cost of raw materials by 4%.

Table 2

Using the information in Table 2, calculate the variable cost per dessert following the increase in the cost of raw materials.

Explain one advantage to a small business of using trade credit as a source of finance.

Table 1 contains information about cash payments of a small business in one month.
The business sold 200 units in this month. All customers paid in cash.

Table 1

Using the information in Table 1, calculate the net cash flow for this month You are advised to show your workings.

Figure 1 shows the total costs for a business between May and July.

Figure 1

Using the information in Figure 1, calculate the percentage change in total costs between May and July. You are advised to show your workings.

Read the following extract before answering.

On Your Bike has made the following forecasts for the costs and sales of its bikes for 2021.

Table 2

Using the information in Table 2, calculate the selling price per bike.
You are advised to show your workings.

Read the following extract before answering.

Using the information in Table 2, calculate the profit On Your Bike is forecast to make from selling bikes in 2021. You are advised to show your workings.

Table 2

Table 1 shows the cash-flow forecast for a small business.

Complete the table with the two missing figures.

                                                                Table 1

Figure 1 shows the sales revenue of a business from January to April.

Figure 1

Using the information in Figure 1, calculate, to 2 decimal places, the percentage decrease in sales revenue from January to March. You are advised to show your workings.

Explain one disadvantage to a small business of manufacturing a high quality product.

Explain the importance of cash to the survival of a small business.

Read the following extract before answering.

The owners of On Your Bike want to lower the break even level of output and have decided to do this by reducing costs.

Analyse the impact on On Your Bike of reducing costs in order to lower its break even level of output.