Edexcel A-Level Business MCQs - Theme 2

Front

What is the formula for capacity utilisation?

Back

Actual output / Maximum possible output x 100

Front

What does the margin of safety represent?

Back

The difference between actual output and breakeven output

Front

What is gross profit?

Back

Revenue minus cost of sales

Front

What does operating profit margin measure?

Back

Profit per customer

Front

What is extrapolation?

Back

Using past trends to predict future values

Front

What is the formula for capacity utilisation?

Back

Actual output / Maximum possible output x 100

Front

What does the margin of safety represent?

Back

The difference between actual output and breakeven output

Front

Gross profit

Back

Revenue minus cost of sales

Front

What does operating profit margin measure?

Back

Operating profit as a percentage of revenue

Front

Extrapolation

Back

Using past trends to predict future values