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FLD is a furniture retailer. It has 460 shops and 20000 employees. Internal recruitment is used
when recruiting new shop managers. The Managing Director wants to know whether job rotation
is the best method of motivation for a large business to use. The Finance Director is reviewing
FLD's income statement. An extract is shown in Table 2.1. She is concerned that FLD’s gross profit
is decreasing.
Table 2.1
Extract from FLD's income statement for year ending April 2025 ($ million)
Revenue 400
Gross profit 200
Expenses 60
Profit 140
{a) Define ‘profit
(2)
(b) Identify two expenses a business might have.
NN EE Ee A i hte Ah PB Rt ba a ee SP
Expense 2:
SSCA _-
= — .