Business Btec Unit 3 - Business Finance Exam With 100% Correct Answers 2024

Business Btec Unit 3 - Business Finance Exam With 100% Correct Answers 2024Savings - correct answer-placing money in a secure place so that it grows in value ad can be used in the future investment - correct answer-speculative commitment to a business venture in the hope that it generate a financial reward in the future. expenditure - correct answer-the amount of money you need to cover all your expenses/ outgoings e.g. your mortgage and bills Shareholders - correct answer-someone who invested in a company in return for equality i.e. share of the business (HMRC) Her Majesty's Revenue and Customs - correct answer-is a non-ministerial department of the UK government responsible for the collection of tax Fraud - correct answer-Is a criminal deception intended to result in financial or personal gain Profit - correct answer-Is a financial gain, the difference between the amount earned and the amount spent Loss - correct answer-Is the amount of money lost in a business or organization Gross profit - correct answer-a company's total revenue minus the total revenue. Sales Revenue - correct answer-Is the income from sales from goods and services, minus the cost associated with things returned and undelivered merchandise. Net profit - correct answer-Is the actual profit after the working expenses not included in the calculation of gross profit have been paid Trade payables - correct answer-Is the amount billed to the company by the suppliers for the goods delivered Trade receivables - correct answer-Is the amounts billed by a business to its customers when it's delivered goods or service to them Capital income - correct answer-the money invested by the owners or other investors that is used to set up a business or buy additional equipment. It tends to be used to buy things that will stay in the business for the medium-to-long period of time. Fixed assets - correct answer-Items of value owned by a business that are really likely to stay in business for more than one year. For example machinery. Also known as non-current assets. Revenue income - correct answer-the money that comes into the business from performing its day-to-day function selling goods and services goods or providing a service. The nature of the revenue income depends on the activities that the business does to bring in money. expenditure - correct answer-money spent by the business Capital expenditure - correct answer-Purchase of assets Items last for more than a year Revenue expenditure - correct answer-Is spending day by day or regular basis. These are the expenses incurred by a business Capital items - correct answer-assets bought from capital expenditure such as machinery and vehicle that will stay in the business for more than a year. Statement of financial situation - correct answer-a financial document that shows the net worth of a business by balancing its assets against its liabilities. It is often called a balance sheet Trademarks - correct answer-is a symbol or word that represent a company Goodwill - correct answer-it's represents the business patents - correct answer-t's a license that you can sell your products for a certain number of years Brand name - correct answer-is name given by the marker for the product capital expenditure - correct answer-Is used to buy capital items which are long term asset. inventory - correct answer-a list of items such as property, goods in stock. Discount allowed - correct answer-when the seller grants discount to buyers rent - correct answer-regular payment to a landlord Administration - correct answer-the activity of running the company depreciation - correct answer-the value of the asset reduces