THEME 1 BUSINESS CARDS 4.5 / 5 based on 3 ratings ? Business StudiesBusiness Theme 1ASEdexcel Created by: sophlou98Created on: 10-05-17 16:45 What is meant by limited liability? It is a type of investment where you cannot lose out on more money than invested. Personal assets are not at risk. 1 of 10 What is meant by unlimited liability? It is where someone such as a sole trader may lose personal assets if debts are not paid. 2 of 10 What is a private limited company? They cannot sell shares on the stock exchange 3 of 10 What is a public limited company? They can sell shares on the stock exchange and sell them publicly. 4 of 10 What is an entrepreneur? Someone who has a flair for business ideas and takes riss when setting up a business. 5 of 10 What is product differentiation? Degree to which consumers percieve a brandas different to its competitors. It must have a USP. 6 of 10 What is an opportunity cost? Cost of missing out on the next best alternative 7 of 10 What are fixed and varaible costs? Fixed costs- do not change with the level of output, Variable costs- change with output (piece rate, comission) 8 of 10 What is margin of safety? Difference between current output and the breakeven point. Its the amount a firm can fall in demand before it creates a loss. 9 of 10 What are costs? Money spent on production! 10 of 10
Comments
No comments have yet been made