Business Studies Paper 1 November 2024

1. AThe nationality of the firm's founder
2. BThe urgency of the message and the cost of sending it
3. CThe colour scheme of the company's letterhead
4. DThe number of years the firm has been trading

1. AComputers make it impossible for workers to ever be distracted
2. BComputers remove the need for any employee training at all
3. CComputers always improve every employee's eyesight over time
4. DProlonged computer use can damage eyesight and cause backache

1. AWorkers can become antisocial or alienated, and computer use exposes the business to information hacking
2. BComputers remove the possibility of a worker wasting time at work
3. CComputers guarantee that no confidential information can ever be leaked
4. DComputers make face to face teamwork compulsory for every task

1. AAutocratic
2. BDepartmental
3. CSeasonal
4. DContractual

1. AIt guarantees that no new employee will ever make a mistake
2. BIt removes the need for the organisation to have any policies or procedures
3. CIt removes the need for the organisation to ever recruit new staff again
4. DIt reduces anxiety in new employees and helps them become productive as quickly as possible

1. AIt is time consuming and consumes production time, and needs a good communicator to run it, who may be hard to find
2. BIt removes the need for the organisation to ever induct staff again
3. CIt guarantees every inductee will feel unwelcome
4. DIt is always completed within a few minutes for every new employee

Answer this when you sit the paper.

1. ATo guarantee every employee agrees with management before an idea is announced
2. BTo satisfy employees' social needs and to test employee reaction before implementing an idea
3. CTo replace the organisation's formal structure entirely
4. DTo remove all social contact between employees

1. ASome informal groups are anti-managerial and may pass on wrong information leading to wrong decisions
2. BInformal groups always provide perfectly accurate information to management
3. CInformal groups remove the possibility of resistance to change
4. DInformal groups guarantee that no false rumours will ever spread

Answer this when you sit the paper.

1. AIt removes the need for the firm to calculate its own private costs
2. BIt lets the firm evaluate both the private costs and the wider social costs of its operations
3. CIt removes the need for the firm to ever seek government approval
4. DIt guarantees the firm will never cause any environmental damage

1. AIt prevents the government from ever regulating the firm's operations
2. BIt guarantees the firm's operations will always be profitable
3. CIt facilitates government approval of the firm's business operations, since the effects of logging go beyond the firm's own costs
4. DIt removes the need for the firm to consider the wider community at all

1. AA free trade agreement that removes all import duties
2. BA tariff (import duty) charged on imported goods
3. CAn increase in the number of willing trading partners
4. DA reduction in the cost of shipping between two friendly countries

1. AEncourage citizens to buy only imported goods
2. BSubsidise foreign firms exporting into the country
3. CDevalue its currency to make exports cheaper and imports more expensive
4. DRemove all tariffs and quotas on imported goods immediately

1. AOther countries may retaliate and reduce the country's own exports
2. BIt guarantees an immediate improvement in the balance of payments
3. CIt always improves the quality of goods available to consumers
4. DIt has no effect on firms that depend on imported raw materials

1. ACost leadership
2. BVertical integration
3. CMarket penetration
4. DHorizontal merger

1. AThe manufacturer's internal staff turnover rate
2. BThe number of years the manufacturer has existed
3. CThe font used on the product's packaging
4. DThe price of substitute products

1. AThe colour of the factory where the product is made
2. BConsumer income and changes in consumer tastes and preferences
3. CThe number of shareholders the manufacturing firm has
4. DThe manufacturer's choice of external auditor

1. AThe acid test (quick) ratio
2. BThe gearing ratio
3. CThe stock (inventory) turnover ratio
4. DThe current ratio

1. AThe seller loses the right to repossess the asset at any point
2. BThe business takes possession of the asset before having fully paid for it, so its own capital is not all tied up in the asset
3. CIt is always the cheapest way for a business to acquire an asset
4. DIt removes the need for the business to pay any deposit

1. AIt guarantees the asset can never be repossessed
2. BIt is an expensive way of purchasing assets, and the asset cannot be used as collateral during the payment period
3. CIt requires no paperwork of any kind to arrange
4. DIt removes the need for the business to ever make a payment

1. AIt identifies when resources are needed, so they can be purchased only when required rather than held as stock
2. BIt removes the need for a business to ever hold working capital
3. CIt guarantees the business will never need to borrow money
4. DIt increases the amount of bulk buying economies of scale a firm enjoys

1. AIt removes the need for any coordination between departments
2. BIt eliminates all interest charges on borrowed money
3. CBulk buying economies of scale are lost, and re-order or transport costs increase
4. DIt guarantees resources will always be available exactly when needed

1. AIt removes the need for the government to ever raise taxes
2. BIt prevents any private company from ever entering that industry, permanently
3. CIt guarantees the utility will always make a large profit
4. DIt lets the government continue to control a strategic industry and protect national security

1. AIt can be run inefficiently due to a lack of competition, and losses are paid out of taxation
2. BIt removes any risk of political interference in the company's decisions
3. CIt always leads to lower prices for every consumer
4. DIt guarantees the company will never suffer from bureaucracy

Answer this when you sit the paper.

Answer this when you sit the paper.

Answer this when you sit the paper.

1. AIt increases productivity and reduces labour turnover
2. BIt removes the need for the business to ever supervise staff
3. CIt guarantees that no employee will ever be absent from work
4. DIt removes the need for the business to pay any wages

1. AIt reduces accidents and absenteeism, and reduces the cost of supervision
2. BIt guarantees that every employee will agree with every management decision
3. CIt removes the need for the business to ever train its staff
4. DIt increases the number of accidents in the workplace

1. AIt guarantees that no natural resource will ever be depleted
2. BIt creates employment and raises foreign currency through exports
3. CIt removes the economy's need for a secondary or tertiary sector
4. DIt always sells raw materials at the highest possible price

1. AIt can cause land degradation and relies on other sectors to be successful
2. BIt always improves infrastructure with no cost to the economy
3. CIt guarantees the sustainable use of all natural resources
4. DIt removes the risk of any pollution being caused

1. AIt guarantees competitors will always share their up-to-date information freely
2. BIt removes the need for the firm to use any other improvement technique
3. CIt guarantees the firm's products will never be copied by rivals
4. DIt increases quality and makes the business more competitive

1. AIt guarantees an immediate increase in the firm's profits
2. BIt removes the need for the firm to ever monitor its own performance
3. CIt can only ever be used by the very largest manufacturing firms
4. DIt is expensive because it requires market research, and competitors might not divulge relevant, up-to-date information

1. AThe rate of inflation in the country
2. BThe interest rate charged on business loans
3. CThe exchange rate of the local currency
4. DTechnological change affecting how the firm produces its drinks

Answer this when you sit the paper.

1. AAccept the Zambian firm's offer, since $115 is lower than $120
2. BThe two options cost exactly the same, so either may be chosen
3. CReject the Zambian firm's offer, since $165 is higher than $120
4. DNeither option can be compared without further information

1. AThe number of years since Khana Limited last changed its logo
2. BThe distance between Khana Limited's head office and its bank branch
3. CThe quality of the Zambian firm's drink and the reliability of its supply
4. DThe exact colour of the ink used on Khana Limited's own letterhead

1. AThe number of public holidays observed in Zambia each year
2. BThe average age of Khana Limited's existing workforce
3. CThe font used in Khana Limited's promotional adverts
4. DGovernment policy on imports and the attitude of customers towards imported goods

Answer this when you sit the paper.

1. AIt removes all legal formalities from how the company is run
2. BIt removes the need for the company to ever publish its financial statements
3. CIt can raise large sums of money as capital and its shares are easily transferable
4. DIt guarantees the company can never be taken over by another firm

1. AIt removes the possibility of the company ever raising large sums of capital
2. BIt guarantees the company will never enjoy any economies of scale
3. CIt is costly and requires many legal formalities to form, and its financial affairs must be made public
4. DIt prevents the company's shares from ever being transferred to a new owner

Answer this when you sit the paper.

1. AThey remove the need for staff to be motivated in any way
2. BThey enable coordination of activities and help communicate plans across departments
3. CThey guarantee that actual results will always match the figures budgeted
4. DThey remove the need for management to ever control expenditure

1. AThey guarantee that managers will always remain flexible
2. BTheir value does not depend on the quality of information used to prepare them
3. CThey remove the need for a company to evaluate performance
4. DThey are time consuming to set, and can demotivate workers if participation is not part of the process