Business Studies Multiple Choice Question – 2 March 2019

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

Lucy’s Jewels is a local jewellery business making necklaces from round pebbles found on Dorset beaches. Once the pebbles have been collected, they are prepared and made into items of jewellery, by adding colour and glass beads.

Lucy’s Jewels makes 600 items a month. The Average Selling Price per item is £30. Variable costs per necklace are £20 & their Fixed costs per month are £2,000.

What are the monthly total costs for Lucy’s Jewels?

Select ONE answer:

  1. £8,500
  2. £10,000
  3. £13,000
  4. £14,000

 

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 3:

  1. is not correct because the wrong figures have been used.
  2. is not correct because the wrong figures have been used.
  3. is not correct because the wrong figures have been used.
  4. TC = TVC + TFC or (600 * £20) + £2,000 = £14,000

 

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

Business Studies Multiple Choice Question – 1 March 2019

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

Lucy’s Jewels is a local jewellery business making necklaces from round pebbles found on Dorset beaches. Once the pebbles have been collected, they are prepared and made into items of jewellery, by adding colour and glass beads.

Lucy’s Jewels makes 600 items a month. The Average Selling Price per item is £30. Variable costs per necklace are £20 & their Fixed costs per month are £1,000.

What are the monthly total costs for Lucy’s Jewels?

Select ONE answer:

  1. £8,500
  2. £10,000
  3. £13,000
  4. £14,000

 

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 3:

  1. is not correct because the wrong figures have been used.
  2. is not correct because the wrong figures have been used.
  3. TC = TVC + TFC or (600 * £20) + £1,000 = £13,000
  4. is not correct because the wrong figures have been used.

 

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

Business Studies Multiple Choice Question – 28 February 2019

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

Lucy’s Jewels is a local jewellery business making necklaces from round pebbles found on Dorset beaches. Once the pebbles have been collected, they are prepared and made into items of jewellery, by adding colour and glass beads.

Lucy’s Jewels makes 600 items a month. The Average Selling Price per item is £30. Variable costs per necklace are £15 & their Fixed costs per month are £1,000.

What are the monthly total costs for Lucy’s Jewels?

Select ONE answer:

  1. £8,500
  2. £10,000
  3. £13,000
  4. £14,000

 

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. is not correct because the wrong figures have been used.
  2. TC = TVC + TFC or (600 * £15) + £1,000 = £10,000
  3. is not correct because the wrong figures have been used.
  4. is not correct because the wrong figures have been used.

 

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

Business Studies Multiple Choice Question – 27 February 2019

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

Lucy’s Jewels is a local jewellery business making necklaces from round pebbles found on Dorset beaches. Once the pebbles have been collected, they are prepared and made into items of jewellery, by adding colour and glass beads.

Lucy’s Jewels makes 500 items a month. The Average Selling Price per item is £30. Variable costs per necklace are £15 & their Fixed costs per month are £1,000.

What are the monthly total costs for Lucy’s Jewels?

Select ONE answer:

  1. £8,500
  2. £10,000
  3. £13,000
  4. £14,000

 

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 1:

  1. TC = TVC + TFC or (500 * £15) + £1,000 = £8,500
  2. is not correct because the wrong figures have been used.
  3. is not correct because the wrong figures have been used.
  4. is not correct because the wrong figures have been used.

 

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

Business Studies Multiple Choice Question – 26 February 2019

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

Which ONE of the following would be a reason to set up a new business as a franchise?

Select ONE answer:

  1. A franchisee can buy supplies from any supplier
  2. The wage rates for all the franchises are the same
  3. Franchisees can make all their own decisions
  4. A franchise has a lower risk of failure

 

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 4:

  1. A franchisee can buy supplies from any supplier – is not correct because the franchisee has to buy from nominated suppliers.
  2. The wage rates for all the franchises are the same – is not correct because different franchises have different wage rates.
  3. Franchisees can make all their own decisions – is not correct because a franchisee cannot make all their own decisions.
  4. A franchise has a lower risk of failure – is correct because a franchise means that the business is backed by a larger company and is less likely to fail.

 

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

Business Studies Multiple Choice Question – 25 February 2019

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

Which ONE of the following is an advantage to a business of using venture capital?

Select ONE answer:

  1. It decreases access to additional finance
  2. The business would not have to produce a business plan
  3. The business will pay a lower rate of Corporation Tax
  4. It allows more access to finance

 

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 4:

  1. It decreases access to additional finance – is not correct because other sources of finance are available.
  2. The business would not have to produce a business plan – is not correct because any provider of finance would require a business plan.
  3. The business will pay a lower rate of corporation tax – this is incorrect because taxation is not determined by the source of finance.
  4. It allows more access to finance – is correct because it is another source of finance for the business.

 

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

Business Studies Multiple Choice Question – 24 February 2019

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

Which ONE of the following is an advantage to a business of using venture capital?

Select ONE answer:

  1. It decreases access to additional finance
  2. The business would not have to produce a business plan
  3. The business can benefit from expert advice
  4. The business will pay a lower rate of Corporation Tax

 

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 3:

  1. It decreases access to additional finance – is not correct because other sources of finance are available.
  2. The business would not have to produce a business plan – is not correct because any provider of finance would require a business plan.
  3. The business can benefit from expert advice – is correct because venture capitalists do give an opportunity for additional help and support to a business.
  4. The business will pay a lower rate of corporation tax – this is incorrect because taxation is not determined by the source of finance.

 

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