Business Enterprise Skills Paper 1 November 2019

1. Atakes calculated risks
2. Bwaits for government help
3. Ccopies whatever rivals do
4. Davoids every business risk

1. Apublishing audited accounts
2. Bpaying suppliers on agreed dates
3. Coverstating what a product does
4. Dpaying the minimum wage set by law

1. Athe community around it
2. Bits shareholders alone
3. Cthe competition authority
4. Dits short term creditors

1. Adividing profit among the partners
2. Binfluencing people to pursue goals
3. Crecording day to day transactions
4. Dsupervising machinery and equipment

1. Astaff morale depends on consultation
2. Ban emergency demands a fast decision
3. Cthe team is setting a long term plan
4. Dworkers are highly skilled specialists

1. Aremoves the need for supervision
2. Bgives close direction and clear orders
3. Cleaves each worker to set the pace
4. Dspreads decision making across the team

1. Aa state firm to private owners
2. Bprofit from owners to employees
3. Cshares from one investor to another
4. Da private firm to state ownership

1. Alose the right to set its own prices
2. Bbe taken back into state ownership
3. Craise prices as a private monopoly
4. Dbe forced to widen its rural network

Answer this when you sit the paper.

1. Aalready published and easy to find
2. Bavailable to competitors as well
3. Cfitted to the firm's own problem
4. Dcheaper and quicker to obtain

1. Acurrent assets less current liabilities
2. Btotal assets less long term liabilities
3. Ccurrent assets plus current liabilities
4. Dfixed assets less current liabilities

1. Aignore doubtful debts until they are written off
2. Bprovide for a foreseen loss straight away
3. Crecord profits as soon as they are foreseen
4. Dvalue stock at the higher of cost or market

1. Aincurred, whether paid or not
2. Bpaid in cash to the supplier
3. Centered on the bank statement
4. Dapproved by the auditor

1. Athe raw materials
2. Ba large labour supply
3. Cthe nearest export harbour
4. Dits main customers

1. Araise the firm's transport costs
2. Bforce the firm to close its plant
3. Cattract firms to relocate there
4. Dreduce the firm's total output

1. Aonly the money the firm will spend
2. Bthe shares of the firm at market price
3. Cthe profit left after tax is paid
4. Dsocial costs and benefits as well

1. Aa private benefit
2. Ba fixed overhead
3. Can external benefit
4. Dan external cost

1. Athe payback period is under two years
2. Bits private costs are the lowest available
3. Csocial benefits exceed social costs
4. Dit creates the largest number of jobs

1. Aa high price for early buyers
2. Ba price below the unit cost
3. Ca low price to win market share
4. Dthe same price as every rival

1. Arecovers development costs quickly
2. Bsignals a premium brand image
3. Cleaves room for a later price cut
4. Dkeeps sales volume low at launch

1. Aoutput flows continuously along a line
2. Bcomponents are bought in and assembled
3. Cidentical items pass through in groups
4. Done complete item is made at a time

1. Agross profit is at its highest
2. Bthe owners have recovered their capital
3. Ctotal revenue equals total costs
4. Dfixed costs are at their lowest

Answer this when you sit the paper.

1. Aincreasing the advertising budget
2. Bbuying fabric at a bulk discount
3. Cpaying the office rent in advance
4. Dtaking out a longer term bank loan

1. Ano stock of finished goods is held
2. Bsetting up between runs is avoided
3. Cevery uniform is unique to the buyer
4. Dlower unit costs from bulk buying

1. Atime is lost setting up between batches
2. Bonly one design can ever be produced
3. Clabour must be highly skilled throughout
4. Deach item must be priced separately

1. Aranks projects by their total profit
2. Bshows when the outlay is recovered
3. Cmeasures profit over the whole project
4. Dallows for the time value of money

Answer this when you sit the paper.

1. Ais too complex for a small partnership
2. Bneeds the initial outlay to be known
3. Cignores cash earned after payback
4. Dcannot be used to rank two projects

1. Aguarantees the same pay each month
2. Bis paid regardless of branch profit
3. Clinks reward to results achieved
4. Dremoves the need for any targets

1. Ait costs less than a fixed salary
2. Bunderperformance is hidden from the owners
3. Cmanagers lose all interest in profit
4. Dpay depends on factors beyond control

1. Athe activities with the longest duration
2. Bthe benefits expected from the project
3. Climits the project must work within
4. Dthe resources released once work ends

1. Atakes the longest time of all activities
2. Buses no time and no resources
3. Calways lies on the critical path
4. Drepresents the cost of the project

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Answer this when you sit the paper.

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1. AA, B, E, G, I
2. BA, C, E, H, I
3. CF, D, E, G, I
4. DA, B, E, H, I

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Answer this when you sit the paper.

1. Athe local council
2. Ba supplier of materials
3. Ca customer of the firm
4. Dan employee of the firm

1. Asales revenue for the next five years
2. Bprofit and loss for the year
3. Cassets and liabilities at a date
4. Dreceipts and payments month by month

1. Ashows shortages before they arrive
2. Bremoves the need to pay redundancy
3. Cguarantees the closure will be profitable
4. Dreplaces the annual audited accounts

1. Arecords only cash already received
2. Brests on estimates that may prove wrong
3. Cis required by banks before lending
4. Dmust be prepared by a qualified auditor

1. Afixing the total cost of the project
2. Bmeasuring the quality of the work done
3. Cremoving the risk of any delay
4. Dshowing which activities cannot slip

1. Ait shows the order of the activities
2. Bthe durations used are only estimates
3. Cit identifies the float on each path
4. Dthe network is drawn before work starts