BTEC - Business – Finance Exam With Complete Solutions 2024

BTEC - Business – Finance Exam With Complete Solutions 2024 Meet Shelly. She has decided to set up a new personal trainer. What would some examples of fixed cost be? - correct answer-Loan repayment used to buy training equipment (£150). Wages for Shelly (£300). Meet Shelly. She has decided to set up a new personal trainer. What would be an example of a variable cost? - correct answer-Petrol to get to clients house or gym (£70) What is an example of revenue? - correct answer-All of the amount of money a business earns in a month. What is the formula of revenue? - correct answer-Revenue= Quantity of item sold x Price per item sold What is sales volume? - correct answer-Sale volume is the number of products or services sold by a company over a period of time. Calculate the revenue when you sell 100 pairs of socks for £3.99. - correct answer-100 x £3.99 = £399 Calculate the revenue when you sell 6 cases of coca cola for £15.60. - correct answer-6 x £15.60 Calculate the revenue when you have 52 customers who buy your newly designed trainers - half of the customers buy the standard pairs for £24.99, but half choose to customize them, and pay £32.99. - correct answer-52 / 2 = 26 26 x £24.99 = £649.74 26 x £32.99 = £857.74 £857.74 + £649.74 = £1507.48 Calculate the revenue when sell 34 printed t-shirts, which normally sell for £7, but the first 12 customers received a discount of 30% - correct answer-100% = £7 10% = £0.70 x 7 = £4.90 34 - 12 = 22 22 x £7 = £154 £4.90 x 12 = £58.80 £154 + £58.80 = £212.80 Calculate the revenue when you set up a market stall selling phone accessories. You sell 24 iPhone cases at £2.50 each. You sell battery packs for £16 each. - correct answer-24 iPhone cases x £2.50 = £60 15 extending charges x £4 = £60 8 extra battery packs x £16 = £128 £60 + £60 + £128 = £248 What is the formula for total cost? - correct answer-Total Cost = Fixed Costs + Variable Costs (Remember, you may need to multiply the variable cost by the number of products) Calculate the total costs when you rent a market stall, which costs you £50 for the day. You are selling candles each candle cost you £2.20 to make you have printed some banners and posters for promotion which cost you £14.70. At the end of the day, you have made and sold 55 candles. - correct answer-£2.20 x 55 candles = £121 + £50 + £14.70 = £185.70 Calculate the total costs when you decide to start selling your candles online, you pay £200 for internet design, domain name and hosting. You have also found a slightly cheaper supplier for your materials to make candles, so now each one costs you £1.90 to make. When candles are ordered it costs you 80p per candle for postage and packaging. In the first week you sell 120 candles. - correct answer-£1.90 + 80p = £2.70 £2.70 x 120 candles = £324 £324 + £200 = £524 Calculate the total costs when after month of selling candles, you have sold 1,080. Sales were helped by the fact that you did same advertising which cost you £430 in total. What were your total costs at the end of month 1? - correct answer-£2.70 X 1080 = £2916 £2916 + £430 = £3346 Calculate the total costs when on the run up to Christmas, you start selling Christmas stockings. There are two sizes, a 30 centimeter stockings from an online wholesaler. They sell in boxes of 12 stockings. You decide to order 60 of the 30 cm stockings and 48 of the stockings. The 30 cm stocking cost £42 per box and the stockings cost £72 per box. What is the total cost of buying the stocking? Bonus question: Calculate the total costs when buying stockings as well as the packaging, packaging will cost you £0.25 per stocking that you sell and the stall you buy them on costs you £45. What are your total costs? - correct answer-60 / 12 = 5 boxes x £42 = £210 48 / 12 = 4 boxes x £72 = £288 £210 + £288 = £498 Bonus answer: £0.25 x 12 + 12 = £6 + £45 + £498 = £549 What is profit? - correct answer-Profit = Revenue - Total Costs