IB Business Management
1.
The Cupcake Shop is well known for its cupcakes. It sells each cupcake for $2,50.
With the increase in the cost of ingredients such as flour and eggs, the owner, Tom,
is contemplating on increasing the price of each cupcake by 6,5%.
Calculate the new price for each cupcake (round your answer to two decimal
places). Show all your working.
$2,50 × 1,065 = $2,66 or
6,5% of $2,50 = $0,1625
New price = $2,50 + $0,1625 = $2,66 (2 dp)
2.
D&S is a well-known ice cream brand in the European market. In 2021, D&S sold
€1,45 billion worth of ice cream and the total sales of ice cream in Europe was
€21,7 billion.
Calculate D&S’ sales in 2021 as a percentage of total European sales (round your
answer to two decimal places). Show all your working.
𝟏,𝟒𝟓
𝟐𝟏,𝟕
× 100 = 6,68 %
3.
How many months are there in a quarter of a year?
4.
In 2020, Red Yoghurt earned $235 000 in sales. In 2021, it earned $315 000.
Calculate the percentage increase in sales between 2020 and 2021 (round your
answer to two decimal places). Show all your working.
𝟑𝟏𝟓 –𝟐𝟑𝟓
𝟐𝟑𝟓
5.
3 months
× 100 = 34,04 %
Electricity prices have gone through the roof this year. The Hill family’s average
monthly electricity bill was $100 for the past year. Starting next month, Mr Hill
expects to see a 200% increase in the monthly electricity bill. Calculate, in dollars,
the new monthly amount Mr Hill will be paying for electricity. Show all your
working.
100 + 100 % of 100 + 100% of 100 = $300
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6.
David runs a café. He sells beverages, cakes, snacks etc. The average selling price of
all his items is $3,58. He sells an average quantity of 3 150 items a month. Calculate
the income (or sales revenue) for the café. Show all your working.
$3,58 × 3150 = $11 277
7.
Lena borrowed 156 000 SEK from David last year with no interest. She has been
paying David 31 200 SEK a month and promised to continue to pay this amount
until the debt is paid. Calculate the time it would take Lena to fully pay off the debt
she owes David.
𝟏𝟓𝟔 𝟎𝟎𝟎
𝟑𝟏 𝟐𝟎𝟎
8.
= 5 months
Elias borrowed $55 550 from Sam last year with no interest. Elias has been paying
Sam $1 845 a month and promised to continue to pay this amount until the debt is
paid. Calculate the time it would take Elias to fully pay off the debt he owes to Sam
to the nearest month.
30,1084 months. So the answer is 30 months or 31 months
or 2 years 6 months or 2 years 7 months
Bonus question
9. Explain the difference between percentage difference and percentage point
difference.
Percentage difference: the difference between two numbers, expressed as a
percentage (like in Q4).
Percentage point difference: the difference between two percentages.
E.g., there is a 12 percentage point difference between 25% and 37%.
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