CSEC Principles of Business · January 2012 · Paper 2

40 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)(i)4 marksOutline TWO functions of a business.
2. 1(a)(ii)4 marksState TWO ways in which a 'sole proprietorship' differs from a 'partnership'.
3. 1(b)(i)2 marksDefine the term 'franchise'.
4. 1(b)(ii)4 marksIdentify FOUR popular franchises.
5. 1(c)6 marksDiscuss TWO advantages of operating a franchise.
6. 2(a)(i)4 marksState FOUR reasons for documenting business transactions.
7. 2(a)(ii)3 marksIdentify THREE instruments of payment other than a credit card.
8. 2(b)(i)2 marksDefine the term 'contract'.
9. 2(b)(ii)1 markIdentify the type of contract entered into between the customer and the resort.
10. 2(b)(iii)4 marksState FOUR ways in which the contract between the customer and the resort may be terminated.
11. 2(c)(i)4 marksWith reference to the relationship between the customer and the resort, explain offer and acceptance.
12. 2(c)(ii)2 marksWith reference to the relationship between the customer and the resort, explain consideration.
13. 3(a)2 marksDefine the term 'resources'.
14. 3(b)(i)2 marksIdentify TWO types of resources that are important to the entrepreneur in starting her business.
15. 3(b)(ii)4 marksExplain the importance of EACH identified resource to the business.
16. 3(c)6 marksOutline THREE factors to consider when choosing a location for the business.
17. 3(d)6 marksDiscuss TWO ways in which the country may benefit from the establishment of this new business.
18. 4(a)(i)2 marksExplain the term 'customer satisfaction'.
19. 4(a)(ii)2 marksState TWO ways in which a firm can ensure customer satisfaction.
20. 4(b)6 marksOutline THREE responsibilities of management to customers.
21. 4(c)(i)2 marksExplain the role of the Bureau of Standards in consumer protection.
22. 4(c)(ii)2 marksExplain the role of the Consumer Affairs Commission in consumer protection.
23. 4(d)6 marksDiscuss TWO factors that influence consumer behaviour.
24. 5(a)(i)4 marksOutline TWO reasons why a Central Bank may decide to close down a commercial bank.
25. 5(a)(ii)6 marksExplain THREE actions that a commercial bank could take in order to prevent closure by a Central Bank.
26. 5(b)4 marksIdentify FOUR sources, other than commercial banks, from which firms can acquire financing.
27. 5(c)6 marksDiscuss TWO ways in which the stock market performs its role effectively.
28. 6(a)6 marksExplain the terms 'direct taxes' and 'indirect taxes', giving ONE example of EACH type of tax.
29. 6(b)2 marksState TWO purposes of taxation.
30. 6(c)(i)4 marksDistinguish between 'regressive taxation' and 'progressive taxation'.
31. 6(c)(ii)2 marksOutline the MAIN reason in favour of a progressive tax system.
32. 6(c)(iii)6 marksDiscuss TWO reasons why a government may impose taxes on alcohol and tobacco.
33. 7(a)2 marksState TWO reasons why countries trade with each other.
34. 7(b)(i)2 marksDefine the term 'Specialization'.
35. 7(b)(ii)2 marksDefine the term 'Balance of trade'.
36. 7(b)(iii)2 marksDefine the term 'Globalization'.
37. 7(c)(i)2 marksState TWO features of the Organization of Eastern Caribbean States (OECS).
38. 7(c)(ii)2 marksState TWO features of the Caribbean Community (CARICOM).
39. 7(c)(iii)2 marksState TWO features of the World Trade Organization (WTO).
40. 7(d)6 marksDiscuss TWO challenges faced by Caribbean economies in creating a single market and economy.