Year 11 pre

Question 1

What is Vertical Integration

Answer 1

Buying out suppliers.

Question 2

What is horizontal integration

Answer 2

Buying out competitors

Question 3

What are the features of incorporation

Answer 3

• Perpetual succession exists
• The business and the owner are separate legal entities
• Limited Liability

Question 4

Minimum standards and condition set out in awards are set out by who?

Answer 4

The national employment standards

Question 5

A business wants to increase profit of 25% in 7 years. Is this a strategic goal, a financial goal, a tactical objective or an operation goal.

Answer 5

A strategic goal.

Question 6

what is a feature of a flat organizational structure

Answer 6

• short chain of command
• Less supervision of employees
• Promoting increased involvement in decisions

Question 7

what is a non current asset

Answer 7

• Investment in other properties
• Patents
• property
• Plant and equipment
• They appear on the balance sheet of the business

Question 8

What are the four stages in the human resource cycle

Answer 8

.Acquisition, Development, Maintenance, seperation

Question 9

What is development in the human resource cycle

Answer 9

Developing existing skills and making them better employees

Question 10

What is acquisition

Answer 10

the learning or developing of a skill, habit, or quality.

Question 11

What is maintenance in the human resource cycle

Answer 11

Providing benefits of working at the establishment

Question 12

What is seperation in the human resource cycle

Answer 12

The end of the employees job.

Question 13

What is the teritary industry

Answer 13

This is where people provide a service for you. For example mowing your lawn for money

Question 14

What is the layout of an income statement

Answer 14

• Sales
• opening stock
• purchase
• closing stock
• gross profit
• expenses
• Net Profit

Question 15

How to find COGS

Answer 15

Begining inventory + purchases during the period - ending inventory

Question 16

How to find Gross Profit

Answer 16

Gross profit margin is calculated by subtracting the cost of goods sold (COGS) from total revenue and dividing that number by total revenue.

Question 17

How to find Net profit

Answer 17

Gross Profit - Expenses

Question 18

What are the stages in the business life cycle

Answer 18

Introduction, growth, maturity, post maturity

Question 19

What is equity Finance

Answer 19

Equity financing is the method of raising capital by selling company stock to investors. In return for the investment, the shareholders receive ownership interests in the company

Question 20

What is Debt Finance

Answer 20

Debt financing means borrowing money in order to acquire an asset. Financing with debt is referred to as financial leverage. Using debt financing allows the existing stockholders to maintain their percentage of ownership since no new stock is being issued.

Question 21

What is the layout for business reports

Answer 21

1. Title Page
2. Executive Summary - summarise main points of the report
3. Introduction - Highlights major points and provides background information
4. Discussion - Everything
5. Conclusion

Question 22

What is the Role of Asic

Answer 22

ASIC is an independent Australian government body that acts as Australia’s corporate regulator. Their role is to enforce and regulate company and financial services laws to protect Australian consumers, investors and also creditors.