Wednesday 6 September 2017

Unit 2 Finance in a business - Theory Lesson 1 of 30 Guided Learning Hours before your online exam

Dear Year 10 & 12 BTEC Business L2ers

Well done for keeping up today.  Business is very abstract and if you don't have a family business and have never had any work experience its sometimes difficult to get your head around stuff.

That said my advice to you is "put yourself in the scenario" try to think about what you would do if you walked into the example and actually had to think like the business owner in the case study you are given.  The sooner you think like the owner the sooner you will start thinking like a business person and it might not come naturally at first but you will start to develop your skills set very quickly and this is a skill set that employers are crying out for so well done for choosing Business and congratulations for choosing to study BTEC business at L2 at Imberhorne.  Its not going to be an easy two years but I promise you that you will get what you deserve if you commit to being 'the best you can be' and doing 'the best you can do' !

Anyway todays lesson covered Learning Aim A - Understanding the costs involved in business and how businesses make a profit.  Although we didn't really get to the importance of profit you do need to know what you costs are before you can start thinking about making a profit and selling anything!

Lesson 1 - Topic A.1 Understand the costs involved in business

After todays lesson you should:

Understand and identify costs of a business including:
  • start up costs - the cost incurred when setting up a business
  • operating (running) costs - the costs incurred in the day to day running of a business
  • We will start next lesson by testing you on this!

Next lesson we will look at understanding, defining and identifying the difference between fixed cost's and variable costs, direct and indirect costs and total costs.

We will also consider total costs.  The formula will not be given to you in the exam so you will need to remember it once you have been taught it.

Good luck and enjoy

Mr T