Finance Revision Worksheet A.

1 Question Sheet 1: Understand the Costs Involved in Business

Complete the revision sheet then use the answer sheet to self-assess your answers

No Question Your answer Score

1 What is a start-up cost? /1

2 State 3 start-up costs for a pizza restaurant. /3

3 What is a running cost? /1

4 State 3 running costs for a pizza restaurant. /3

5. What are fixed costs also known as? /1

6. What is a fixed costs? /1

Can you give two examples of fixed costs for a pizza restaurant? /2
7.
8. What are variable costs also known as? /1

9. What is a variable costs? /1

7. Can you give two examples of variable costs for a pizza restaurant? /2

8. What is the formula for calculating total variable costs? /1

9.
What is the formula for calculating total costs? /1

10 Calculate the Fixed, Variable and Total Costs for Paul’s Pizza’s for each Quantities Fixed Costs Variable Costs Total Costs /18
. quantity of Pizza that Paul sells. 0
His rent is £800 per month, utility bills are £200, wages are £1,000 50
His Variable Costs are £5 per pizza. 100
300
700
1000

I scored / 36 What I did What I need to

well improve on