OCR GCSE Business Paper 2 - Friday, May 16, 2025 [Exam Chat]

Reply 20

Hcx09

5

What was the first one
Was it the young children workers

Reply 21

Rayan Altaf

1

Original post

by pixyjung

I got 83.57% and I think you were meant to subtract the income by the cost of initial investment first before dividing it by 5 for the average annual profit?

Yes because they gave us revenue and the cost of their coffee machine had to be subtracted before the ARR could be worked out many people I spoke to put 104 because they thought that it gave the profit but it was in fact revenue

Reply 22

stoxford

5

Original post

by Hcx09

What was the first one
Was it the young children workers

yes

Reply 23

Majy7860

7

Original post

by pixyjung

I got 83.57% and I think you were meant to subtract the income by the cost of initial investment first before dividing it by 5 for the average annual profit?

it gave you the net profit no?

Reply 24

Livvydunn

2

Original post

by pixyjung

I got 83.57% and I think you were meant to subtract the income by the cost of initial investment first before dividing it by 5 for the average annual profit?

It said income- income refers to the net profit of the business, not revenue.

Reply 25

pixyjung

9

Original post

by Majy7860

it gave you the net profit no?

It will give you the average annual profit, because you worked out the profit for the whole 5 years after taking away the cost of investment from total income of 5 years and then you divide it by 5 to get AAP, and then you do AAP/Cost of investment × 100 to get ARR

Reply 26

pixyjung

9

Original post

by Livvydunn

It said income- income refers to the net profit of the business, not revenue.

Oh yeah, my bad. But I think in the ARR formula you will still have to take away the cost of investment from the total income divided by number of years in order to get the average annual profit no?

Reply 27

Livvydunn

2

Original post

by pixyjung

Oh yeah, my bad. But I think in the ARR formula you will still have to take away the cost of investment from the total income divided by number of years in order to get the average annual profit no?

Yes, but I think that income is profit not revenue, so you don’t need to subtract costs

Reply 28

pixyjung

9

Original post

by Livvydunn

Yes, but I think that income is profit not revenue, so you don’t need to subtract costs

Isn't the income just from the business sales though? So the cost of investment haven't been included, that's why you have to subtract it further with the cost of the investment?

Reply 29

Livvydunn

2

Original post

by pixyjung

Isn't the income just from the business sales though? So the cost of investment haven't been included, that's why you have to subtract it further with the cost of the investment?

Just looked it up the -definition is net profit (it’s also known as net income)

Reply 30

Majy7860

7

i must have read the question wrong because i thought in the table it said 36250 was the net profit but apprantly it said something else

Reply 31

Olivia.O

2

Original post

by tristan345

what was the answer for the ARR one?

I got 83.57 % I think

Reply 32

Ikh4n09

1

Original post

by kokodadog

thought i was gonna do bad on paper 2 but that felt like a breeze secured that 9 for sure. literally had an extra half hour just to go through my answers

same

Reply 33

Ginge2025

1

Original post

by kokodadog

thought i was gonna do bad on paper 2 but that felt like a breeze secured that 9 for sure. literally had an extra half hour just to go through my answers

Yeah fr except that one ARR calculation where I didn't realise I used the wrong thing. But paper 1 went well, and paper 2 went well too. What did people say the pizza company should do: carevans or restaurants?

Reply 34

Ginge2025

1

also what did you put for the disadvantage for the 9 marker?

Reply 35

Zac Hudson

1

Original post

by olin5678

What'd people put for the pizza dough one???

i put that there was like an increase in 4% and other numbers like that 😭

Reply 36

jindoao1821

1

Original post

by Ginge2025

Yeah fr except that one ARR calculation where I didn't realise I used the wrong thing. But paper 1 went well, and paper 2 went well too. What did people say the pizza company should do: carevans or restaurants?

Caravan cus they already host festivals etc and resraurant costly

Reply 37

samanthaheap

1

Original post

by tristan345

what was the answer for the ARR one?

average rate of return

Reply 38

samanthaheap

1

helpppppppp meeeeeeeee What equtions do i need for paper 2

OCR GCSE Business Paper 2 - Friday, May 16, 2025 [Exam Chat]

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