Everyone loves a merry-go-round right?
Well today all your dreams will come true because I am bringing a Merry-Go-Round to the classroom!
In a manner of speaking...
Today's task will involved 6 different 4 mark exam questions all based around the last 2 weeks worth of work. You will start by picking a random question and attempt to sketch an answer on a sheet of paper next to the question. You will then after a set time move around to another, check the other students answer and change/improve it depending. You will do this until you have seen all 6 questions on the merry-go-round!
I will play the clown....
Sebastian Bertollini, the owner of a new clothing manufacturing company based in the town of Biella in Italy, chose to leave a machine rather then buy it. As a result of this decision, Sebatsian will benefit from:
ReplyDeletea) more sales revenue
b) lower startup costs
c) lower labour costs
d) better quality output
B
Leasing means that you pay rent on a good for its use, so you avoid having to pay its actual costs as its only being used for normally a short period of time. He will have lower start up costs due to this as he's not paying full price but paying back. C is incorrect as machinery is capital not labour.
Paul McQuillan is a self emplyed electrician based in Barnsley, South Yorkshire. Most of his contacts involve rewiring houses. Paul's fixed costs are £400 per month, avergae variable costs per house are £500.
ReplyDeleteIf Paul charges his customers £600 per house, how many contracts per month does Paul need to complete to break even?
A. 2
B. 3
C. 4
D. 5
C
Cost for a month = FC + VC
400 + 500x
Break even - FC + VC = TR
400 + 500x = 600x
400 = 100x
x = 4
therefore 4 houses are needed to be done for him to breakeven.
GAME Group plc, the high street retailers of computer games in the UK, experienced and increase in sales in 2007 6o 807m pounds (up 24%). Gross profit was 218m pounds (up 25%) and operating profit 33m pounds (up 175%).
ReplyDeleteWhich of the following is the operating profit margin of GAME Group plc in 2007?
a) 27.01%
b) 4.09%
c) 15.13%
d) 150%
B
Operating profit/ Total revenue * 100 = Operating profit margin
33/807 * 100 = 4.09%