Study

Question 2

What it variance analysis?

Answer 2

A variance is the difference between projected and actual figures.
This can be expressed as both a raw figure and or a percentage.

Question 3

Purpose of variance analysis?

Answer 3

-identify where results differ from the plan
- understand the reasons why there are differences
- Be able to start action to remedy.

Question 4

How is variance analysis calculated?

Answer 4

(Forecast-actual)/ actual x100

Question 5

What is human resource management

Answer 5

Involves coordinating managing and allocating human capital or employees

Question 6

Advantage and disadvantage of internal recruitment

Answer 6

Int: saves cost of not needing to advertise ads for jobs

Dis: encourages unfair promotions

Question 7

Adv and dis of external recruitment

Answer 7

Adv: improves efficiency and reduces employee tension

Dis: can cost more than internal recruitment and time consuming process

Question 8

Causes of poor recruitment

Answer 8

Neglecting reference checks
Ineffective job skills and requirement advertising

Question 9

Short term effect of poor candidate selection

Answer 9

Poor quality service and products
Employee is able to do job

Customer complaints leading to refunds having to be paid.

Reduced revenue/profits due to reduced productivity.

Question 10

Long term effects of poor candidate selection

Answer 10

Damage to the brand/reputation of the business as the new employee gives the business a bad name

Negative publicity due to poor-quality products/ services or health and
safety concerns

Reduced revenue/profits dog to reduced productivity.

Question 11

Technology failures

Answer 11

Power outage
Website malfunction
Delayed emails

Question 12

What is working capital?

Answer 12

A liquidity metric expressed as the difference between a companys current assets and its current liabilities.

Question 13

Formula for assets and equity

Answer 13

Assets = equity + Liability

Equity = assets - liability’s

Question 14

Csr

Answer 14

Conducting a business in an ethical way and in the interests of the wider community

Question 15

Business ethics

Answer 15

Policies and practices regularising potentially controversial subjects such as bribery discrimination and labour

Question 16

What is added value?

Answer 16

When a business increases the value of its resources by creating new output / product

Added value = selling price - cost of input

Question 17

ped

Answer 17

Measures the responsiveness of quantity demanded to a change in the price of goods

Question 18

Five main objectives of the government

Answer 18

Full employment
Price stability
economic growth
Redistribution of income
Balance of payments stability

Question 19

Income statement
Profit or loss statement

Answer 19

Shows the companies performance in terms of revenue and expenses for the month and states whether a profit or loss has been made during the period

Question 20

SOFP balance sheet

Answer 20

Details a businesses assets liabilities and owners equity at a point in time

Question 21

Cash flow statements

Answer 21

Gives details of cash that has come into the business and what it has spent on during a specific period. This statement. identifys the cash that is flowing in and out of the company

Question 22

Uses for income statement

Answer 22

Measuring the firms profitability
Helps business see if tho eh can generate profit by increasing revenue decreasing cost or both

Question 23

Used for SOFP

Answer 23

Comparing current performance with past

Comparing information with other companies reports to decide investments

Question 24

Uses for cash flow statements

Answer 24

To show the bank they have good cash on hand