Business Vocabulary

Batch Production is a method of manufacturing where products are made in groups or batches rather than in a continuous stream. Which of the following best describes this method?

• Continuous production of identical items

• Production of items in groups or batches

• Custom production of unique items

• Single item production

What does Break Even mean?

• The point where total revenue equals total costs

• The point where profit is maximized

• The point where losses are minimized

• The point where total costs exceed total revenue

Define Capital in a business context.

• The total value of assets owned by a business

• The amount of money invested in a business

• The net profit of a business

• The total revenue generated by a business

Cash Flow is:

• The total amount of money being transferred into and out of a business.

• The profit earned by a business after all expenses.

• The total revenue generated by a business.

• The net income of a business.

Credit is a term used to describe:

• a financial arrangement where a borrower receives something of value now and agrees to repay the lender at a later date, generally with interest.

• a type of investment that involves buying and holding securities for a long period.

• a method of budgeting that involves tracking expenses and income.

• a form of insurance that protects against financial loss.

A CV (Curriculum Vitae) is:

• a detailed document highlighting an individual's academic and professional history.

• a brief summary of a person's skills and experiences.

• a fictional story about a person's life.

• a legal document required for employment.

Differentiation in business is defined as:

• A strategy to minimize costs

• A strategy to offer unique products or services

• A strategy to enter new markets

• A strategy to increase production

A Dividend is:

• a type of investment

• a portion of a company's earnings distributed to shareholders

• a financial loss

• a company's total revenue

E-commerce is:

• Trading online

• A form of traditional retail

• A method of personal communication

• A physical store

Economy of Scale refers to:

• The cost advantage that arises with increased output of a product

• The decrease in production costs as a result of producing a smaller quantity

• The increase in production costs due to inefficiencies

• The financial loss incurred when a company expands