Business Studies Multiple Choice Question – 19 March 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Business Studies

Lucy wanted a change from working for someone else at the local art supplies shop.

She wanted to set up her own business selling art supplies.

She estimated that it would cost her £35 000 to set up.

Select ONE answer:

  1. Lucy has calculated that her Value Added Tax (VAT) will be £2 500
  2. There is a 70:30 chance of Lucy’s business failing
  3. She estimated costs for the second year of trading will increase by 15%
  4. Lucy has estimated that the demand for his products will increase by 25%

 

Show the workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Business Studies KS4 & KS3 classes

The answer is 2:

  1. Lucy has calculated that her Value Added Tax (VAT) will be £2 500 – is not correct because it is not a calculated risk.
  2. There is a 70:30 chance of Lucy’s business failing – is correct because 80:20 is a calculated risk.
  3. Lucy estimated costs for the second year of trading will increase by 15% – is not correct because it is not a calculated risk.
  4. Lucy has estimated that the demand for her products will increase by 25% – is not correct because it is not a calculated risk.

 

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Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

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