Business Studies Multiple Choice Question – 13 January 2022

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

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Lucy runs Mable’s Rescue, a Stafford based re-homing centre for guinea pigs, as an unpaid volunteer.

Lucy is most likely to be motivated by which one of the following reasons?

Select ONE answer:

  1. Adding value
  2. An ethical stance
  3. Maximising profits
  4. A paternalistic leader

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

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

This multiple-choice question is suitable for Business Studies KS4 & KS5 classes

The answer is 2

  1. Not correct
  2. Correct – Motivation is the drive behind doing something. An ethical stance implies that Lucy is motivated by moral and social concerns. In the case the welfare of guinea pigs not pay is what motivates Lucy.
  3. Not correct
  4. Not correct

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Business Studies Multiple Choice Question – 12 January 2022

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

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At the Stafford Vintage Trade Fair, held on 1 April 2021, Lucy managed to break-even by selling 40 items of costume jewellery she had made
that week.

Assuming fixed costs of £60, and an average selling price of £9, which one of the following represents Lucy’s variable cost per unit?

Select ONE answer:

  1. £0.66
  2. £1.50
  3. £6.66
  4. £7.50

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

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

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct -Break-even = Fixed cost (FC) / Selling Price-Average Variable costs, OR Contribution = FC/BE, OR average variable costs are total variable costs divided by output OR variable costs = sales revenue minus FC divided by breakeven OR variable costs are costs which vary with output OR Break-even is the output level where total costs equals total revenue. ==> 40 = £60/£9 – £7.50

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Business Studies Multiple Choice Question – 11 January 2022

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

woman draw a light bulb in white board
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A rail company announced the recruitment of 100 new train drivers. It decided to only use internal recruitment for these are vacancies.

The MOST LIKELY reason for them to use internal recruitment is which one of the following?

Select ONE answer:

  1. it takes longer than external recruitment
  2. the chance of promotion can motivate employees
  3. it attracts a wider range of potential candidates
  4. less is known about potential candidates

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

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

This multiple-choice question is suitable for Business Studies KS4 & KS5 classes

The answer is 2

  1. Not correct
  2. Correct – An autocratic leadership style is one which entails strict discipline and the following of orders which would have been particularly appropriate under these dangerous/hazardous circumstances to get his/her staff and/or customers out of the shop quickly.
  3. Not correct
  4. Not correct

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Business Studies Multiple Choice Question – 10 January 2022

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

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Lucy went on a business trip to France and came back with two restaurant receipts – one for €25.10 & one for €11.00.

If the exchange rate for the month end of December 2021 was £1 = €1.23, then calculate the combined price in sterling of these two receipts that need to be put in the month-end accounts.

Select ONE answer:

  1. £44.40
  2. £36.10
  3. £29.35
  4. £20.40

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

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

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. Not correct
  2. Not correct
  3. Correct – The exchange rate is the price of one currency expressed in terms of another. The total of the spend is €36.10 divided by 1.23 = £29.35
  4. Not correct

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Business Studies Multiple Choice Question – 9 January 2022

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

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The Game Group announced the closure of hundreds of retail stores in 2012, which led to thousands of job losses.

This was most likely due to ….

Select ONE answer:

  1. a decrease in the price of computer games purchased online
  2. lower opportunity costs for the Game Group
  3. a lower break-even revenue level for computer consoles
  4. an increase in debentures

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

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

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

  1. Correct – Computer games purchased online are a substitute for computer games sold in retail stores. So if they fall in price the online games will face an increase in demand as they represent better value for money. As a result, the demand for games sold in shops may fall causing the sales revenue for the Game Group shops to fall which led to the closures/job losses
  2. Not correct
  3. Not correct
  4. Not correct

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This work is licensed under a Creative Commons Attribution 4.0 International License.