f6 Bs p1 Sample Questions
f6 Bs p1 Sample Questions
f6 Bs p1 Sample Questions
FORM 6
General Certificate of Education Advanced Level
INSTRUCTIONS TO CANDIDATES
Write your name, (Surname and Forename(s)), Centre number in the spaces provided at the top
of every answer sheet.
The number of marks is given in brackets [ ] at the end of each question or part question.
200 marks
Tinofamba nevanofamba
TINOFAMBA NEVANOFAMBA Page 1
1. State any three different ways in which the size of a business might be measured. [3]
2. a. Identify any two factors that may cause a firm to relocate [2]
b. Outline any three state objectives for your country. [3]
5 a. What is:
i. horizontal intergration,
ii. vertical intergration? [2]
9. A firm buys a machine worth $20 000. Its expected useful life is 5 years and has a
residual value of $1 000.
Calculate the depreciation charge for this machine in year four, using
10. The financial director of a firm states that there is an urgent need to increase working
capital.
a. What is meant by working capital? [2]
b. Why might there be a need to increase it? [3]
c. Suggest three ways this could be done. [3]
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11. a. What are the major costs of holding stock? [3]
b. Explain why a ‘Just in Time’ approach may not be wise. [5]
12. a. What is the difference between primary and secondary research? [4]
b. Explain the circumstances in which you would use primary research rather than
secondary research in a market research exercise. [4]
From the above information, calculate the company’s capacity utilization. [3]
14. A firm has the capacity to produce and sell 10 000 units of a certain product per month.
Current output is only 9 000 units. The following data is also known:
Calculate
a. Contribution per unit [2]
b. Break even output [2]
c. Margin of safety [2]
d. Net profit at current output [2]
$
Year 1 100 000
Year 2 200 000
Year 3 350 000
Year 4 300 000
20. The following information shows the effect of a price change, from $10 to $15, to a
product produced by Musendo Ltd.
i. Margin of safety
ii. Break even point [4]
Calculate:
31. How might management increase the willingness of employees to accept changes
in an organisation. [4]
32. To what extent is the knowledge of price elasticity of demand useful to a manufacturer
of shoes. [4]
34. Discuss the usefulness of a work study programme to a large business. [4]
35. How useful is price discrimination to the manufacturer of mobile handsets? [5]