Practise financial-document questions by linking accounts evidence to performance comparisons, loan decisions and product or route choices.
Analyse how Artify Studio could use the information in Figure 1 to assess the performance of the business.
AO2 =3 marks AO3 =3 marks
AO2
- Artify Studio can see how it is performing and can calculate the gross profit margin of 31.49%.
- Artify Studio could use this information to assess the direction that the art studio will take in the future.
AO3
- This calculation helps them to see the sales they are making are currently sufficiently covering costs of running their services and selling their products.
- This helps Artify Studio to judge how much profit they are making against the cost of running their business and if any changes need to be made to make the business more profitable.
| Level | Mark | Descriptor |
|---|---|---|
| 0 | No Rewardable material. | |
| Level 1 | 1-2 | - Limited application of knowledge and understanding of business concepts and issues to the business context. (AO2) - Attempts to deconstruct business information and/or issues, finding limited connections between points. (AO3) |
| Level 2 | 3-4 | - Sound application of knowledge and understanding of business concepts and issues to the business context although there may be some inconsistencies. (AO2) - Deconstructs business information and/or issues, finding interconnected points with chains of reasoning, although there may be some logical inconsistencies. (AO3) |
| Level 3 | 5-6 | - Detailed application of knowledge and understanding of business concepts and issues to the business context throughout. (AO2) - Deconstructs business information and/or issues, finding detailed interconnected points with logical chains of reasoning. (AO3) |