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Paper 1 · Business Objectives

Interest rates, unemployment and inflation belong to which element of the business environment?

Alegal
Bsocial
Ctechnological
Deconomic
Explanation: The economic element covers the conditions that determine how much customers can spend and what it costs the firm to borrow and produce: interest rates, inflation, incomes, unemployment and exchange rates. Laws, population and culture, and new methods of production belong to the legal, social and technological elements.

Derived from ZIMSEC Business Enterprise Skills Paper 1, Specimen Paper (edition B), Q1

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