Japan 高校（専門学科）1〜3年 Commerce / Business

Chapters: 20

1. Business Basics

Studying commerce and business · Attitude towards business · Economy and distribution · Transactions and business calculation · Corporate activities · Business in the local area

Business, Profession and Employment – Human activities are economic (done to earn money) or non-economic (done out of love, duty or faith). Economic activities come in three forms: business (earn profit by making or selling goods and services), profession (earn a fee for expert service) and employment (earn a salary by working for someone). Business has many objectives, and profit is needed to survive and grow.
Attitude Towards Business: Trust, Talk and Facts – A good business attitude has three habits. Build trust by keeping promises and being honest. Communicate clearly: say it simply, listen, and check you were understood. Get information from reliable sources and use it to decide well. Trust is slow to build and quick to lose.
Economics Basics: How People, Firms and the State Choose – Economics is the science of how people, firms and governments use limited resources to meet unlimited wants. Needs are met by goods and services (free vs economic goods, consumer vs capital goods, private vs public goods). Because of scarcity, every society answers What, How and For whom to produce. Three economic agents act: households (work, consume, save), firms (produce and sell to earn profit = revenue − cost) and the state (rules, taxes, public services). Economics uses methods like observation, models and statistics; it splits into microeconomics (one household, firm, market) and macroeconomics (whole economy: GDP, unemployment, inflation, cycles). Social goals include growth, full employment, stable prices, fair income sharing and sustainability.
Sales Transactions and Business Calculation – A sale goes through steps: enquiry, quotation, order, delivery with an invoice, payment and receipt. Payment can be cash, bank transfer, card or on credit. The seller starts from the cost price, adds a mark-up to get the marked price, gives a discount to get the selling price, and the gap between selling price and cost price is the profit or loss. Profit % is always found on the cost price.
Business Organisation: Forms, Structure and Leadership – An organisation is a group of people working together for a goal. A business can be one owner, a partnership, a company or a co-operative, and the legal form decides who carries the debt. Inside, the structure (tall, flat or by department) shows who reports to whom, managers plan, organise, lead and control, and leaders can decide alone, with the team, or leave a free hand.
Business in the Local Area – Local businesses are the shops, farms, workshops and services near you. They give jobs and keep money circulating in the town. To understand them, first spot local issues (problems people face), then read the trends (how people now buy and sell), and then turn a real need into a business idea that you check with simple numbers.

2. Research Project

Investigation, research and experiments · Creating works · Practice at industrial sites · Obtaining vocational qualifications

Making Things: From Idea to Prototype – To make a product, we plan it, choose materials, measure and mark, cut, join, finish, test and then improve. The first working model is called a prototype. Each step uses the right tool, used safely. Testing shows what must change, and a good maker repeats the loop until the product works well.

3. Comprehensive Business Practice

Practice in marketing · Practice in management · Practice in accounting · Practice in business information · Cross-field comprehensive practice

Marketing Practice: Do a Real Mini Project – Marketing practice means doing the whole marketing job once on a small scale, not just learning words. You follow five moves in order. First, find out what customers want, using a short survey. Second, choose the target group, the people you most want to serve. Third, set the 4 Ps: product, price, place and promotion. Fourth, test the plan for a short time and count what happens. Fifth, check the result against your goal and change what did not work. In our juice-stall project the goal is a profit of 400. Demand falls when price rises, and a poster can bring more buyers but costs money. So you must try numbers and look at the profit, not guess. The same five moves work for a school fair, an online shop or a village market.
Management Practice: Run a Small Team Project – Management practice means running a small project from start to finish. A manager uses people, time and money to reach a goal. The work has four jobs that repeat: plan (decide what and when), organise (give each person a task), lead (guide and encourage the team) and control (check progress and fix problems). In our school-fair project the goal is to serve 100 cups of juice by Friday. We list four tasks in order: plan, prepare, run and review. The prepare task needs 6 person-days of work, so with 2 helpers it takes 3 days and the whole project takes 8 days. A Gantt chart shows each task as a bar on a calendar, so everyone sees who does what and when. After the first days, the manager checks the real progress. If a task is late, the manager acts: add a helper, move the order, or cut a small job. More helpers shorten a task only up to a point.
Accounting Practice: Keep the Books of a Small Shop – Accounting practice means keeping the books of a small business from the first transaction to the final report. Everything rests on the accounting equation: assets = liabilities + owner's capital. Every transaction is written in two places (double entry), so the equation stays balanced. The steps are: record each transaction in the journal, sort them into ledger accounts, check the totals with a trial balance, then prepare two reports. The profit and loss statement shows sales minus costs and expenses, which gives profit. The balance sheet shows what the business owns and owes. In our project, Ravi starts a shop with 1000 cash, buys goods for 400, sells goods that cost 100 for 160, and pays rent 50. His profit is 160 − 100 − 50 = 10, his capital is 1010 and his assets are 1010. The scale stays level at every step.
Business Information Practice: Turn Data into a Decision – Business information practice means using data to help run a business. Data are raw facts and numbers, such as the cups sold each day. Information is data that has been put in order and worked on so that it helps you decide. The practice has five steps: collect data, organise it in a table or spreadsheet, calculate (total, average, biggest and smallest), show it in a chart, and decide. In the juice-stall project, mango sells 12, 18, 15, 20 and 25 cups from Monday to Friday. The total is 90, the average is 18 and the best day is 25. Lemon sells 10, 9, 11, 8 and 12, with an average of 10. The chart shows mango growing, so the owner decides to make more mango. Good information needs correct data, and business data such as customer details must be kept safe with strong passwords and backup copies.
Cross-Field Practice: Run One Whole Business Project – Real businesses do not use marketing, management, accounting and information one at a time. They use all four together on one problem. In this project a team runs a juice stall at a school fair. Marketing sets the price and estimates demand: at price 25, about 90 − 2 × 25 = 40 cups. Management decides how many helpers to use: each helper can make 25 cups, so 2 helpers can make 50, which is enough. Accounting adds up the money: revenue 40 × 25 = 1000, ingredients 400, stall fee 200 and helper pay 100 leave a profit of 300. Information then compares the forecast with the real result. If only 36 cups sell, profit is 240, and the team learns to ask more people next time. Cups sold are the smaller of demand and capacity. Changing one field changes the others, so good decisions look at all four together.

4. Business Communication

Business and communication · Business manners · Business thinking and communication · Business and foreign languages

Business Communication – A business talks with many groups called stakeholders: employees inside, and customers, investors, banks, suppliers, the community and the state outside. Each group needs a different message through a different channel. A communication strategy decides the target, the message, the channel, the timing and how to measure results. Channels can be verbal, non-verbal, written or digital. Investors and banks get financial communication and a business plan. Inside the firm, good communication supports decisions, time management and teamwork, and uses honest influence instead of manipulation.
Business Manners: How to Greet, Meet and Serve with Respect – Business manners are polite habits that build trust at work. Greet visitors with a smile, seat guests in the right place, hand over business cards with both hands, listen to customers and keep time. Good manners make customers come back.

5. Marketing

Modern markets and marketing · Market research · Product policy · Price policy · Channel policy · Promotion policy

Marketing Management – Marketing means finding out what buyers need and meeting that need in exchange for value, at a profit. It has many functions (research, planning, branding, labelling, packaging, pricing, promotion, distribution, service) and five philosophies (production, product, selling, marketing, societal). The marketing mix is the 4Ps: product (with branding, labelling, packaging), price (shaped by cost, demand, competition, government rules, objectives and marketing methods), place (channels and physical distribution) and promotion (advertising, personal selling, sales promotion, public relations).
Market Research: Finding Out What Customers Want – Market research means collecting and analysing information about customers, competitors and the market so a business can make better decisions and reduce risk. Primary (field) research collects new, first-hand data through surveys, interviews, observation, focus groups and test marketing. Secondary (desk) research uses data that already exists, like government statistics, reports and websites. Because you cannot ask everyone, you choose a sample: random, stratified, quota or convenience. Data can be quantitative (numbers) or qualitative (opinions and reasons). Results help with market segmentation, market mapping, finding gaps and building a value proposition. Research has costs and limits: bias, small samples and out-of-date data.

6. Product Development and Distribution

Modern markets, product development and distribution · Product planning · Business plans · Distribution and promotion

Modern Markets: How Products Are Developed and Distributed – Markets today change fast: more shopping is online and customers want choice. A firm turns a customer need into a product concept, then takes it through a development flow of idea, design, test, make and sell. Distribution then moves the goods to buyers, and the right path depends on the product.
Product Planning: From a Market Need to a Product Proposal – Product planning decides what to make before anything is built. A firm studies how the market is changing, analyses its outside and inside situation, sets a policy and theme, does market research to test the idea, and then writes a product proposal that tells managers if the idea is worth going ahead.
Business Plans: From Product Idea to Price and Plan – Before a new product is sold, the maker has to do four jobs. First, write the specification: size, material, safety, and how it will be tested. Second, design it: sketch, make a sample (prototype), ask users, improve. Third, protect the idea with intellectual property: a patent for a new method, a design registration for the look, a trademark for the name and logo, and copyright for pictures and text. Fourth, set a price. A simple price is cost plus margin, but the maker must also look at rival prices and at what buyers will pay. All of this goes into a written business plan. Today product makers also think about the planet (less waste), faster testing with 3D printing and online feedback, and changing buyer tastes.
Distribution Channels: How Products Reach You – A distribution channel is the path a product takes from producer to consumer. Direct channels have no intermediaries; indirect channels use wholesalers and retailers, who add services and a margin. The internet lets firms skip intermediaries (disintermediation) but new ones appear. Firms choose intensive, selective or exclusive coverage and, because shoppers move between online and physical outlets, link all channels in an omnichannel strategy.

7. Tourism Business

Tourism and business · Tourism resources and policy · Tourism business and marketing · Development and effects of tourism business

Hospitality and Tourism: Welcoming, Feeding and Looking After Guests – Tourism is people travelling away from home for leisure, business, study or family. Hospitality is the welcome and care they receive: a place to stay, food and drink, and services. The industry has five main sectors: accommodation, food and beverage, transport, attractions, and events and travel services. Workers need culinary knowledge (nutrition, food safety, kitchen tools and layout) and the skills to plan, deliver, manage and review an event.
Tourism Geography: Resources, Types, Impacts and Planning – Tourism is travelling away from home for at least one night for leisure, business, health or visiting friends. Tourism geography asks where people go, why, and what tourism does to places. Places attract visitors with natural resources (mountains, beaches, wildlife) and cultural resources (heritage, festivals, food). People are pushed from home and pulled to destinations. Tourism can be domestic or international, and there are many types: eco, adventure, cultural, medical and marine. Resorts often follow a life cycle from exploration to stagnation and then decline or renewal. Tourism brings jobs and money but can harm nature and local culture if visitors exceed the carrying capacity, so good planning aims at sustainable tourism.
Tourism Business and Marketing – The tourism business is a team job. Hotels, transport firms, guides, attractions, travel agencies and local communities all serve one visitor. Tourism marketing is special because the product is a service: it cannot be touched before buying, it cannot be stored (an empty seat or room is income lost for ever), it changes with seasons, and it depends on many partners. Good marketing starts by understanding customers: families, solo travellers, seniors and business visitors need different things, and each one goes through a journey of dreaming, planning, booking, travelling and sharing. Customer service closes the gap between what the guest expects and what the guest gets. If the experience is above the expectation, the guest is delighted and comes back.
Sustainable Tourism – Sustainable tourism means travel that is good for visitors, local people and nature, now and in the future. Tourism brings jobs and money, but too many visitors cause crowding, pollution and loss of culture (overtourism). We protect places with protected areas, visitor limits, fees and rules, keep money local, and travel as responsible tourists.

8. Business Management

Business and management · Organisational management · Managing business resources · Corporate order and responsibility · Creating and developing a business

Nature and Significance of Management – Management means getting work done with and through people so that goals are reached on time (effectiveness) and at low cost (efficiency). It has organisational, social and personal objectives. It is partly a science, fully an art and not yet a full profession. It works at three levels (top, middle, lower) through five functions (planning, organising, staffing, directing, controlling), and coordination joins them all.
Organising: Process, Structures, Delegation and Decentralisation – Organising means arranging work, people and resources so that plans can be carried out. It has 4 steps: divide the work, group it into departments, assign duties and set reporting lines. The result is an organisation structure, either functional (by type of work) or divisional (by product). Besides the formal structure, an informal one grows from friendships. Delegation passes authority to a junior; decentralisation spreads decision power across all levels.
Managing Business Resources – A business uses four kinds of resources: people (human), things (physical), money (financial) and information. Good management gets each one in the right amount, at the right time, and keeps them in balance, because the business can only do as much as its weakest resource allows.
Social Responsibility of Business – Social responsibility means a business should make decisions that are good for society, not only for its own profit, and go beyond what the law demands. There are strong reasons for it, such as long-term self-interest and public image. A business has duties towards owners, investors, consumers, employees, government and the community, and it must protect the environment from pollution.
Entrepreneurship Development – Entrepreneurship is starting a new business by spotting a need, putting resources together and taking the risk. India needs entrepreneurs for jobs, new ideas and balanced growth. The process runs from knowing yourself to launching and growing. Start-up India (2016) supports new firms, funding comes from savings, angels, venture capital, banks and crowdfunding, and intellectual property rights protect new ideas, brands and creative work.

9. Global Economy

Economic globalisation and Japan · Markets and the economy · Globalisation trends and issues · Globalisation of corporate activities

Economic Globalisation and Japan – Internationalisation is trade between separate national economies. Globalisation goes further: production, money, people and ideas flow across many countries in one linked web. Japan is a rich, trade-dependent economy: it imports most of its energy and much of its food, exports cars, machines and parts, and faces an ageing population and exchange-rate swings.
Markets and the Economy – A market lets buyers and sellers set a price where demand meets supply. Markets can fail when some costs are left out of the price. Over many years an economy grows, but in the short run output swings in a business cycle. Governments and central banks use economic policy to soften the swings.
Globalisation and Global Governance – Globalisation is the growth of flows of goods, capital, information and labour that tie places together. Technology, transport and trade deals drive it. The flows are unequal: rich economies hold more power, poorer ones have weaker market access. TNCs spread production of one product across many places. Agencies like the UN, WTO, IMF and World Bank try to govern these flows, and treaties protect global commons such as Antarctica. Globalisation brings growth and cheaper goods but also inequality, conflict and environmental harm.
International Business – International business is any business activity that crosses national borders: trade in goods and services, licensing, franchising, joint ventures and foreign direct investment (FDI). Firms go abroad to find new customers, cheaper inputs and growth, but face risks: exchange-rate changes, trade barriers (tariffs, quotas, embargoes), customs rules, political and economic risk, and cultural differences that may force them to adapt their products and communication. Trade agreements and organisations reduce barriers and make countries interdependent; technology and e-commerce let even small firms sell worldwide.

10. Business Law

Overview of law · Corporate activities and law · Intellectual property and law · Tax and law · Corporate responsibility and law

What Is Law? The Basics – Law is a set of general, binding rules made or recognised by the state and enforced by courts. It overlaps with morality but is not the same. Its sources are the constitution, treaties, statutes, regulations, case law and custom, arranged in a hierarchy. Natural persons and legal persons (like companies) hold rights and duties. Everyday law includes contracts, consumer protection and access to courts.
Companies and the Law: Shares, Contracts and Fair Competition – A joint-stock company is a legal person owned by shareholders through shares. Shareholders choose the board, and the board appoints managers. Companies make contracts, raise money from owners (shares) or lenders (loans), can merge, be rescued or be closed down, and must follow competition law so that markets stay fair.
Data Protection and Intellectual Property Rights – Intellectual property (IP) is a creation of the mind, such as a story, song, program, invention or logo. Intellectual Property Rights (IPR) give the creator control over its use. Copyright protects creative works (text, music, art, software code) automatically once created; a patent protects a new, useful invention for about 20 years and must be applied for; a trademark protects brand names, logos and slogans. Plagiarism is presenting someone else's work as your own without credit. Infringement is using protected IP without permission (copyright, patent or trademark infringement). Public licences let creators share on their own terms: Creative Commons (BY, SA, NC, ND) for creative works, and software licences such as GPL (copyleft: modified versions must stay open) and Apache (permissive: can be used in closed products with notices).
Tax and the Law: What a Company Pays and How – A company pays corporate tax on its profit (sales minus costs) and collects consumption tax (VAT or GST) from buyers on each sale. It pays the government the consumption tax it collected minus what it already paid on purchases. Both taxes are reported in a return and paid by a due date; late or false returns bring penalties.
Corporate Responsibility and Law – A company must obey laws and be ready to explain its actions (compliance and accountability). The law protects workers (contracts, minimum wage, working hours, safety), consumers (safe products, true labels, fair contracts, right to return or complain) and information (personal data, trade secrets, copyright). Disputes are best prevented with clear contracts and rules; if they happen, parties talk first, then use mediation or arbitration, and go to court last.

11. Bookkeeping

Principles of bookkeeping · Recording transactions · Year-end closing · Head office and branch accounting · Efficient bookkeeping

Vouchers, Accounting Equation and Rules of Debit and Credit – Every transaction starts with a source document (bill, receipt, cash memo). From it a voucher is prepared, showing which account to debit and which to credit. Every transaction affects at least two accounts so that Assets = Liabilities + Capital always holds. Assets and expenses increase on the debit side; liabilities, capital and revenues increase on the credit side.
Journal and Special Purpose Books – The journal is the book of first entry: each transaction is written in date order with the account debited, the account credited and a narration. Busy firms split it into special purpose books — cash book, petty cash book, purchases, sales and return books — and keep a journal proper for everything else.
Financial Statements of a Sole Proprietor – At the end of the year, the trial balance is turned into two statements. The trading and profit and loss account uses revenue items to find gross profit, operating profit and net profit. The balance sheet uses capital items to show assets, liabilities and capital on the last day, grouped and arranged in order. Its closing balances open next year's books through the opening entry.
Head Office and Branch Accounting – A business with branches keeps books at the head office and at each branch. Whatever head office gives a branch is a debit in the Branch account at head office and a credit in the Head Office account at the branch. Branch-to-branch deals are routed through head office. Differences such as goods in transit are reconciled. At year end the statements of all offices are combined and the two mirror accounts cancel out.
Efficient Bookkeeping: Vouchers and Accounting Software – Writing every transaction in one big book is slow. A voucher system uses one slip per transaction: receipt slips for money in, payment slips for money out and transfer slips when no cash moves. Slips can be written by many people, checked, sorted and posted as daily totals. Accounting software goes further: one entry updates the ledger, trial balance and statements automatically.

12. Financial Accounting I

Overview of financial accounting · Accounting procedures · Preparing financial statements · Basics of financial analysis

Introduction to Accounting – Accounting is the language of business. It identifies money events, records them, classifies and summarises them, and then gives the results to the people who need them — owners, managers, banks, investors and the government.
Accounting Procedures – The balance sheet always balances: assets = liabilities + net assets. Revenue raises net assets, expenses lower them, and the difference is profit. Fixed assets lose value through depreciation, securities are valued at market, loans split into current and long-term, and tax-effect accounting matches the tax expense to accounting profit.
Financial Statements of a Sole Proprietor – At the end of the year, the trial balance is turned into two statements. The trading and profit and loss account uses revenue items to find gross profit, operating profit and net profit. The balance sheet uses capital items to show assets, liabilities and capital on the last day, grouped and arranged in order. Its closing balances open next year's books through the opening entry.
Tools of Financial Statement Analysis – Analysis means studying financial statements to judge a company's profit, safety and growth. Its main tools are comparative statements (compare two years side by side: change in rupees and %) and common-size statements (show every item as a % of a common base: revenue or total). Analysis has limits: it uses past data, ignores non-money facts and depends on accounting choices.

13. Financial Accounting II

Basic concepts and standards of financial accounting · Accounting procedures · Cash-flow statements · Group (consolidated) accounting · Financial statement analysis · Auditing and professional accountants

Bases of Accounting, Accounting Standards and GST – A business can record items when cash moves (cash basis) or when they are earned or incurred (accrual basis). Accounting Standards (AS) and Ind AS are written rules that make accounts uniform; Ind AS match world standards and apply to listed and large companies. GST is one tax on supply of goods and services, with credit for tax already paid.
Accounting Procedures – The balance sheet always balances: assets = liabilities + net assets. Revenue raises net assets, expenses lower them, and the difference is profit. Fixed assets lose value through depreciation, securities are valued at market, loans split into current and long-term, and tax-effect accounting matches the tax expense to accounting profit.
Cash Flow Statement (AS 3): Where Did the Cash Come From and Go? – A cash flow statement shows how cash came into a company and went out during a year. Every cash movement is put in one of three groups: operating, investing or financing. Under the indirect method we start from profit before tax, add back items that used no cash, adjust for changes in current assets and liabilities, and subtract tax paid.
Group (Consolidated) Accounting – Companies join in different ways: in a merger two become one; in an acquisition a parent buys control of a subsidiary and both stay separate companies. After a merger one set of statements is made and any price above net assets is goodwill. For a group, consolidated statements add the parent and subsidiary, remove the investment against the subsidiary's equity and remove internal sales and unrealised profit, and show outside owners as non-controlling interest. Removing unrealised profit creates a deferred tax asset in the group accounts.
Tools of Financial Statement Analysis – Analysis means studying financial statements to judge a company's profit, safety and growth. Its main tools are comparative statements (compare two years side by side: change in rupees and %) and common-size statements (show every item as a % of a common base: revenue or total). Analysis has limits: it uses past data, ignores non-money facts and depends on accounting choices.
Auditing and Professional Accountants – Owners give money to managers, so managers must be accountable: they must explain how the money was used through financial statements. Because managers write those statements about themselves, an independent auditor checks them using evidence and gives an opinion: unqualified, qualified, adverse or a disclaimer. Professional accountants, such as certified public accountants and tax accountants, audit, prepare tax returns and advise, and must be honest, independent, careful and confidential.

14. Cost Accounting

Costs and cost accounting · Costing by cost element · Departmental and product costing · Internal accounting · Standard costing · Direct costing

Costs and Cost Accounting: Concept, Features and Structure – Cost is the value of the things a business uses up to make and sell a product: materials, labour and other expenses. Cost accounting records and sorts these costs so we know what each product really costs. It follows three steps: costs by element, then by department, then by product. Costs build up like layers: prime cost, manufacturing cost, total cost, then profit is added to get the selling price.
Costing by Cost Element: Material, Labour and Expense Calculation – The first step of cost calculation is to find how much material, labour and expense a factory used. Material used is priced by a rule such as FIFO or average cost. Labour is paid by time rate or piece rate, and may be direct or indirect. Expenses are of three kinds: paid for the month (rent), measured by use (power meter) and shared over years (depreciation). The result splits into direct costs for a job and indirect costs that go into overhead.
Departmental and Product Costing: Job-Order and Process Costing – Step two and three of cost calculation: share factory overhead between departments, then find the cost of each product. Job-order costing gives each customer order its own cost: direct material + direct labour + overhead by rate. Departmental costing uses a separate overhead rate for each department, which is fairer. Process costing is for goods made all day in the same way: total cost of a department ÷ equivalent units gives cost per unit.
Internal Accounting: Completing Products, Factory Ledger and Closing the Books – In a factory, costs first collect in Work in process. When products are finished, their cost moves to Finished goods. When they are sold, cost moves to Cost of goods sold and the sale is recorded. Some firms keep a separate factory ledger that is linked to the head office ledger by mirror accounts. At year end a manufacturer prepares a manufacturing account (cost of goods manufactured) and then an income statement to find profit.
Standard Costing: Purpose, Procedure and Cost Variance Analysis – Standard costing sets what a product should cost (the standard), records what it actually cost, and studies the difference, called a variance. A variance is favourable if actual cost is below standard and unfavourable if above. Splitting the variance by cause shows where money was lost: material price and usage, labour rate and efficiency. Managers use this to find problems early, control cost and plan better.
Direct Costing (Variable Costing) – In direct costing only variable costs are counted as product cost. Fixed costs are charged in full to the period in which they happen. Profit = sales - variable costs - fixed costs. Absorption costing spreads fixed cost over every unit made, so unsold stock carries some fixed cost forward. When stock grows, absorption shows more profit than direct costing.

15. Management Accounting

Management accounting and business administration · Short-term profit planning · Performance measurement · Budgeting and budgetary control · Cost management · Business decision making

Management Accounting and Business Administration – Management accounting gives managers inside a firm the numbers they need to plan, control and decide. Cost accounting works out what products and services cost, and is the main data source. Financial accounting reports past results to outsiders by fixed rules. Management accounting looks forward, has no fixed format, and uses cost data plus forecasts.
Break-Even Analysis – A business breaks even when total revenue equals total cost, so profit is zero. Each unit sold brings a contribution = price − variable cost per unit, which first pays off the fixed costs. Break-even output = fixed costs ÷ contribution per unit. Sales above this make a profit; below it make a loss. Margin of safety = actual sales − break-even sales. To earn a target profit, sell (fixed costs + target profit) ÷ contribution per unit.
Performance Measurement – A large firm is split into units, and each boss is judged by what the boss controls. A cost centre is judged on cost against budget. A profit centre is judged on profit. An investment centre is judged on profit compared with the money invested: ROI = profit ÷ investment × 100. Residual income = profit - a charge for the capital used. A balanced scorecard adds non-money views such as customers, processes and learning.
Budgeting and Budgetary Control – A budget is a plan in numbers for a set period. Firms start with the sales budget, then make production, cost and cash budgets, and join them into a master budget. Budgetary control compares actual results with the budget, finds the variances (favourable or unfavourable), asks why, and takes action. Flexible budgets change with activity; zero-based budgets start from nothing each time.
Cost Management – Cost management means planning and controlling what things cost. Standard costing sets the cost one item should have and measures variances (actual minus standard). Direct standard costing counts only variable costs in product cost. Target costing starts from the market price: target cost = price - desired profit. Activity-based costing shares overhead by the activities that cause it. Quality costing adds up prevention, checking and failure costs.
Business Decision Making – Managers make small short-term (operational) decisions, such as make or buy and special orders, and big long-term (structural) decisions, such as buying a machine. For every decision, use only relevant costs: future costs that differ between the options. Ignore sunk costs and costs that are the same. Structural decisions are checked with payback and present value.

16. Information Processing

Corporate activities and information processing · Computer systems and networks · Tallying and analysing information · Writing business documents · Presentation

Corporate Activities and Information Processing – Data are raw facts. Information processing collects data, sorts and counts it and shows it clearly, so people can decide. Companies use it in sales, buying, pay and planning. Good communication uses clear information design: one message, simple chart, honest labels. Information ethics means respecting privacy, truth, ownership and permission when we handle information.
Computer Systems and Networks – A computer system has hardware (input, CPU, memory, storage, output) and software (system and application programs). A network links devices with cables or Wi-Fi so they can share data. Data travels as small packets through switches and routers, between clients and servers. Networks let us share files, mail and online services. Security (passwords, firewall, updates, backups) and laws protect people and businesses from misuse.
Tallying and Analysing Information – Businesses use statistics to turn many answers into a few clear facts. Tally marks count answers; a frequency table lists the counts; a bar graph shows them as bars. Mean (average), median (middle) and mode (most common) summarise the data, and percentages show shares and change. Comparing with the average helps you spot a problem, ask why, try a fix and check again.
Presentation Skills: Speaking to an Audience – A good presentation is planned for its audience and purpose, has a clear opening, body and closing, uses simple slides that support (not replace) the speaker, and is delivered with a clear voice, eye contact and good timing. Practice turns nerves into confidence.

17. Using Software

Corporate activities and software · Using spreadsheet software · Using database software · Using business software · Developing information systems

Software in Business: Networks and Protecting Information – Businesses use software to sell, buy, pay staff and keep records faster and with fewer mistakes. Office computers are joined by a network: a switch joins them into a LAN and a router links the LAN to the internet. The data a company holds is an asset, so it must be protected with layers: passwords, a firewall, antivirus software, backups and access rights that decide who may see or change what.
Database Concepts: DBMS, Relations and Keys – Keeping data in separate files causes duplication, inconsistency and poor security. A database stores related data in one organised place, and a DBMS (like MySQL) is the software that manages it. In the relational model, data is kept in tables (relations) made of columns (attributes) and rows (tuples); a domain is the set of allowed values of a column. A candidate key uniquely identifies each row; one is chosen as the primary key and the others are alternate keys.
Using Business Software: Purchasing, Sales, Payroll and Groupware – Purchasing software sends orders to suppliers and adds the arriving goods to stock. Sales software records each sale, lowers stock and adds to the sales total. Payroll software multiplies hours by rate to get gross pay, takes off tax and other deductions, and shows net pay. Groupware (shared calendar, chat and files) lets a team work on the same information at the same time.
Developing Information Systems with Spreadsheets and Databases – A small information system can be built with a spreadsheet or with database software. A spreadsheet is quick: input cells hold facts and formula cells calculate results automatically. But when facts such as a customer's name repeat in every row, mistakes and wasted space grow. A database stores each fact once in a table and links tables with keys. Whichever tool is used, development follows steps: find the need, design, build, test and use.

18. Programming

Information systems and programming · Hardware and software · Algorithms · Developing programs and information systems

Information Systems – An information system (IS) is a set of people, hardware, software, data, networks and procedures that work together to collect, store, process and share information. It turns raw data into useful information through a chain: capture, encode, send, store, process and present. Systems are built in a cycle (plan, analyse, design, build, test, run and improve). They make work faster and let many people share knowledge, but they cost money, can fail, can be hacked and can make an organisation rigid.
Basic Computer Organisation – A computer system has hardware (parts you can touch) and software (instructions). Input devices bring data in, the CPU (ALU + Control Unit + registers) processes it, and output devices give results. Memory forms a ladder: registers and cache are tiny and fastest, primary memory (RAM, ROM) holds running programs, and secondary storage (HDD, SSD, pen drive) keeps data permanently. Memory is measured in bits and bytes: 8 bits = 1 byte, and each bigger unit (KB, MB, GB, TB, PB) is 1024 times the one before.
Introduction to Problem Solving – Problem solving on a computer has stages: analyse the problem (inputs, outputs, rules), develop an algorithm (a finite, clear, ordered set of steps), code it in a programming language, test it with different inputs, and debug (find and remove errors). An algorithm can be shown as a flowchart (oval = start/stop, parallelogram = input/output, rectangle = process, diamond = decision, arrows = flow) or as pseudocode (structured plain English). Decomposition breaks a big problem into smaller sub-problems that are solved separately and then joined.
Software Development: From Idea to Working App – Good software is built in stages: analyse the problem and write requirements, design the solution, code it in small parts, test it with normal, boundary and erroneous data, deploy it to users and maintain it. Waterfall does each stage once in order; agile repeats short cycles. Robust programs validate input, and teams use version control, clear roles and feedback from users.

19. Using Networks

Advances in IT and business · The internet and information security · Producing information content · Using the internet

Digital Economy: Platforms, Reviews and Personal Data – The digital economy is the part of the economy that runs on the internet, phones and data. Its heart is the platform: an app or website that links buyers and sellers (or drivers and riders, hotels and guests) and takes a fee. Platforms grow through the network effect: more users on one side attract more on the other side. Customers choose using ratings and reviews, so every business needs a good digital identity (website, social pages, reviews). Platforms collect a lot of personal data, so consent and data-protection laws matter.
Information Ethics and Security – Information ethics is doing the right thing with information: respect privacy, tell the truth, give credit and do no harm. Information security is keeping information safe from people who should not see or change it, using passwords, locks (encryption), updates, backups and clear rules. Both start with one habit: think before you share.
Digital Media: How Pictures, Sound and Video Become Numbers – Digital media is any picture, sound, video or animation stored as numbers on a computer. A raster image is a grid of pixels, each stored as red, green and blue values from 0 to 255. Vector graphics store shapes as maths, so they stay sharp at any size. Video and animation are many frames shown quickly. File size grows with resolution and colour depth, so we use compression. When we make or share media we must respect copyright, licences and people's image rights, and work safely and critically.
Website Design for a Business: Plan, Build and Evaluate – A good business website starts with a clear purpose and a target audience. It is built from standard parts (header, menu, main message, call-to-action button, content, footer), laid out with simple navigation and design principles (hierarchy, contrast, white space, consistency), works on phones, and is tested and improved with a checklist and real users.

20. Network Management

Corporate activities and networks · Information security administration · Network design, construction and management

Computer Networks: Types, Devices and Topologies – A computer network is a group of devices connected to share data and resources. By area, networks are PAN, LAN, MAN and WAN. Devices do different jobs: a modem converts digital and analog signals, a repeater boosts a weak signal, a hub sends data to all ports, a switch sends it only to the right device, a router joins networks and chooses a path, and a gateway joins networks that use different protocols. Topology is the layout of connections: star, bus, tree and mesh, each with its own strengths and weaknesses.
Information Ethics and Security – Information ethics is doing the right thing with information: respect privacy, tell the truth, give credit and do no harm. Information security is keeping information safe from people who should not see or change it, using passwords, locks (encryption), updates, backups and clear rules. Both start with one habit: think before you share.
Network Design, Construction and Management – A good network is planned first, then built, then run and checked. Design starts from what users need (people, speed, safety, budget), then picks a layout, devices and addresses. Building means fitting cables and devices, setting them up and testing. Operation means watching the network and fixing faults fast. A system audit checks that everything works as planned and follows the rules.