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CAPE Management of Business Unit 1 · 2006 · Paper 2

21 questions and parts from this paper. Open one to see it in full, then practise it on Quelpr and get it marked against the mark scheme.

  1. 1(a)3 marksDefine globalization.
  2. 1(b)6 marksOutline three factors which have contributed to the growth of globalization.
  3. 1(c)16 marksDiscuss, giving suitable examples, four ways in which globalization may impact on organizations operating within the Caribbean Business Environment.
  4. 2(a)(i)9 marksDraw a Decision Tree to illustrate the given scenario.
  5. 2(a)(ii)(a)2 marksCalculate the expected value for Moonlight Island.
  6. 2(a)(ii)(b)2 marksCalculate the expected value for Sunny Isle.
  7. 2(a)(iii)2 marksRecommend to John the country in which he should locate the production plant, and explain why.
  8. 2(b)(i)2 marksDefine "Network Analysis".
  9. 2(b)(ii)8 marksOutline two advantages and two disadvantages of using Critical Path Analysis as a decision-making tool.
  10. 3(a)9 marksDiscuss three principal barriers to good communication in an organization.
  11. 3(b)6 marksExplain one way in which each barrier discussed in (a) might be overcome.
  12. 3(c)(i)4 marksDescribe two important features of the Formal Communication Network.
  13. 3(c)(ii)4 marksDescribe two important features of the Informal Communication Network.
  14. 3(d)2 marksOutline two advantages of face-to-face communication over written communication.
  15. 4(a)12 marksDiscuss four reasons why people resist change.
  16. 4(b)13 marksDiscuss four conditions which are necessary for change to be successfully implemented.
  17. 5(a)18 marksCompute the Net Present Value (NPV) of each project using a discount rate of 11%.
  18. 5(b)4 marksBased on the NPV, determine which project the company should invest in and justify your recommendation.
  19. 5(c)3 marksCompare the implication of the NPV of project B and project C.
  20. 6(a)4 marksDistinguish between an operational budget and a capital budget and give an example of each.
  21. 6(b)21 marksPrepare a Cash Budget in columnar (tabular) form in as much detail as possible for the months of April and May 2005. Round all final figures to the nearest whole number.

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