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ZIMSEC O-Level Commerce

6.6.9Business calculations

Business calculations in ZIMSEC O-Level Commerce: what the syllabus expects you to know, the learning objectives and how to practise.
Subtopic60 practice questions3 lessons

Overview

Form 4: working capital, gross and net profit, rate of stock turnover, return on capital employed, mark-up and margin.

Learning objectives

What the syllabus expects you to be able to do.

  1. 6.6.9.1Define and calculate working capital, gross profit, net profit, turnover and the rate of stock turnover.
  2. 6.6.9.2Calculate return on capital employed.
  3. 6.6.9.3Calculate profit margin and mark-up.

Lessons

  • Business calculations: turnover, stock turn, mark-up and margin

    40 min

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  • Profitability ratios: margins and ROCE

    35 min

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  • Working capital: calculation, cycle and management

    30 min

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Sample question

A sample question on this topic. Answer it, check it, then read the worked answer.

Business calculations: sample question

1 mark

A business has revenue of US$80,000 and profit of US$6,000. What is its profit margin?

Choose one answer

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