short answer 2

Question 1

Before starting a business, it is important to develop a business plan. Business plans usually have a cover page, an executive summary and objectives written at the start. Name and describe the other three sections, that make up a business plan.

Answer 1

market analysis: look at industry, competitors and protentional customers

operation plan: outline schedule for business (covering location, equipment, production process and supply chain)

financial plan: projects business potential
financial performance (budgeting, savings, investment strategies, debt management, tax planning)

Question 2

explain how progressive tax system works (provide eg)

Answer 2

the tax rate increases as a person income increases. people with higher income pay a higher percentage of their income in taxes

eg. people who earn between $18,201 - $45,000 pay 19% of tax

people who earn over $180,000 pay 45% of tax

Question 3

Outline two reasons why taxes are collected in Australia.

Answer 3

to support government services and programs (healthcare, education, national defence)

to redistribute wealth, government collect more tax from higher income to support lower income individuals and to help reduce income equality

Question 4

Name two business structures and explain how they work

Answer 4

flatter structure - workforce organised in layers but with very few levels seniors managers and frontline workers (small business in use)

matrix structure - involves teams with specialist from different functional areas (tech companies - google)

Question 5

Outline three things that a business could do to become more environmentally friendly and socially responsible.

Answer 5

1. reduce energy consumptions
2. ensure fair wages, reasonable working hours and safe working conditions
3. engage with local community - donate a portion of profits to local charities and non - profits organisations

Question 6

4 stages of business cycle

Answer 6

Expansion:
- This is a period of economic growth, marked by increased consumer spending, business investment, and employment.
- Production, income, and profits all rise during this phase.
Peak:
- This is the highest point of the business cycle, where the economy is running at full capacity.
- Growth begins to slow down as inflationary pressures build up.
Contraction (Recession):
- This is a period of economic decline, characterised by decreased consumer spending, business investment, and employment.
- Production, income, and profits all start to fall during this phase.
Trough:
- This is the lowest point of the business cycle, where economic activity reaches its minimum.
- The economy then starts to recover and enter the expansion phase again, beginning the cycle anew.

Question 8

Outline three ways in which building new transport infrastructure would boost the economy in Victoria.

Answer 8

1. new transportation projects like highways, rail lines or public transport (reduce traffic)
2. construction jobs provided, building structures opening up jobs which provides income for construction workers
3. ongoing operations sustain providing long term employment

Question 8

what is frictional unemployment?

Answer 8

Occurs because it generally takes time totransition between one job to the next​

Also occurs when students move fromeducation into the workforce full time aswell as when women move back to theworkforce after having children​

Question 9

what is structural unemployment

Answer 9

Occurs when the workers available foremployment do not have the skills andexperience required for the jobs that areavailable​

Re-training of employees is required​

Question 10

what is cyclical unemployment

Answer 10

When the economy is in a period ofdownturn or economic recession, thedemand for goods and services falls.​

This leads to many employers reducingtheir workforce.​

Question 11

what is seasonal unemployment

Answer 11

Occurs because the demand for certaintypes of employees changes according tothe season (e.g. fruit pickers)