AS Level Busines
Extended Diploma in Business
Transition activities
Understanding how businesses set up is a fundamental part of business courses whether
you are studying AS or the Extended Diploma. The objective of this worksheet is to help
familiarise yourself with the topics involved in business (regardless of whether you have
studied the subject before of not).
The programme ‘Dragon’s Den’ is an excellent starting point with regard to what is required
to be an entrepreneur and successfully make a profit. The link below will give you access to
this part of the BBC’s website:
http://www.bbc.co.uk/dragonsden/business/enterprise/
TASK 1
Watch the videos and make brief notes on the key topic areas in this web page. This will be
particularly useful if you have never studied the subject before.
Each heading is a topic area and will
provide you with a short video and
notes.
There is also a ‘glossary’ in this first
section for any terms that you do
not understand.
TASK 2 - Business calculations
The whole point of business is making ‘money’/profit. However in order to do this
successfully as an entrepreneur, you have to be confident with the figures. The successful
completion of the calculations (see next page) is the minimum level we would expect from
students studying business.
1. A store employee notices that computer printers that cost her store £44 are being
sold for £132. What is the mark-up percentage?
2. The buyer for a chain of stores purchased laptop computers in bulk, paying £300
each. The stores will sell each laptop computer for £894. What is the mark-up
percentage?
3. Sidney bought a gymnastics mat for £27 that was originally priced at £540. What is
the discount percentage?
4. Gold rings that were once selling for £50 are now selling for £27. What is the
discount, as a percentage?
5. A shopper at a clearance sale is pleased to discover some surfboards on sale for £135
each. The original price tags read £270. What is the discount percentage?
6. A store employee creates a display of playground slides priced at £520 apiece. The
store paid £250 for each playground slide. What is the mark-up percentage?
7. A speciality shop procures several barbecue grills for £230 apiece and offers them to
customers for £322 each. What is the mark-up percentage?
8. Dedra's town voted on a new speed limit. Out of 40 votes, 4 were in favour of the
new speed limit. What percentage of the votes was in favour of the new speed limit?
9. In order to select new board members, the French club held an election. 20% of the
50 members of the club voted. How many members voted?
10. A store bought a gold necklace at a cost of £30 and marked it up 100%. A
salesperson named Samantha sold the necklace this morning, earning a 5%
commission on the selling price. How much commission did Samantha make from
the sale?
11. Nathaniel works in a store in Hillsboro where he earns a base salary of £89 per week
plus a commission of 20% of sales. If Nathaniel sold £95 worth of merchandise
during the first week of the month, what was his total pay that week?
12. A store purchased a clarinet and marked it up 40% from the original cost of £100.
Then, wanting to make room for summer inventory, the store placed the clarinet on
sale for 50% off. What was the price after the discount?
13. A 3-pack of toy cars costs £0.15. What is the unit price?
14. A 5-pack of woven baskets costs £3.10. What is the unit price?
15. If Tony had 10,000 widgets to sell at £5 each, how much money would he make?
16. Tony had to pay for the hire of a van to sell his widgets; it cost him £200 per week
and he had the van for 4 weeks in total. How much money does he have left as a
result of selling his widgets once the cost of the van has also been deducted?
17. Tony then got an invoice from Bill who sold him the widgets. The widgets had cost
Tony £2.50 each. How much money does he have left now?
Welcome to the basics of business finance!