Question detail
Northline Gym serves repeat customers while raising prices; the case evidence includes unit contribution of ?9,606, sales of 661 units, and a 13% change in costs or demand. Which option best applies Use relevant examples of businesses behaving ethically?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Ethical and environmental considerations
Question
- A. Use behaving, relevant, examples, businesses to judge net profit margin, lenders impact, and the business objective in Ethical considerations.
- B. Give only a definition of Ethical and environmental considerations without using the case evidence.
- C. Treat gross and net profit as identical and ignore the effect on lenders.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use behaving, relevant, examples, businesses to judge net profit margin, lenders impact, and the business objective in Ethical considerations.
Explanation
This option works because Use behaving, relevant, examples, businesses to judge net profit margin, lenders impact, and the business objective in Ethical considerations. The case evidence gives ?11,106, 661 units, and 13%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse gross and net profit, miss the lenders, or ignore the business objective.
Common mistake
Ethical considerations common mistake 1
Giving a vague answer instead of directly addressing: Use relevant examples of businesses behaving ethically..
Answer by clearly explaining how to use relevant examples of businesses behaving ethically..
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