Past paper questions
Yvonne Harvey, Contributor

A section of the Frome Technical High School choir, (from left): Maurice Hayles, Napthalie Hodges, Tiffany Dennison, Shaneke Morgan, Shantoi Tomlinson, Suane Simpson, Trivia Thompson and Tiffany Dixon, do a rendition with music teacher, Winston Bryan. - Claudine Housen Photo

TODAY, AS promised, I will give you a question on the alternate to the School Based Assessment (SBA). You will be given one hour to do this paper. The one we will look at today is the past paper of January 2004.

INSTRUCTIONS

This paper consists of a case study and 14 questions. Candidates must answer ALL 14 questions. All answers must be written in the space provided on the question paper.

CASE: SOLSTICE LIMITED

Solstice Ltd. is the name of a supermarket that has just been registered as a limited liability company. The company, which was formed by four brothers, plans to sell a wide range of brand and non-brand products.

When the supermarket opens next month, it will be selling goods, which will also carry the Solstice brand, as well as other brands.

Depending on the success of this initial venture, Solstice Ltd. Is considering opening other branches of the supermarket in various parts of the country over the next five years.

Solstice Ltd. has entered contracts with suppliers, both local and foreign. It has already recruited staff for the supermarket. It plans to have a very successful and impressive opening.

In spite of their expectations of success, the owners are anxious about the state of the economy at the moment. Also, the decline in tourist arrivals since September 11, 2001, is also cause for concern as Solstice Ltd. is opening its first supermarket in a large tourist resort area.

The owners of Solstice Ltd. expect that the social and economic policies of the Government will generate more employment. They are also optimistic that the incidence of crime will fall over the next five years.

PROFILE 1: ORGANISATIONAL PRINCIPLES

1. (a) What type of business is Solstice Ltd.? (1 mk)

(b) List two features of the business organisation to which Solstice Ltd belongs.
(2 mks)

2. State four functions which the manager of Solstice Ltd. Is expected to perform. (4 mks)

3. Outline three benefits which Solstice Ltd. will enjoy if it installed a management information system in the supermarket chain. (3 mks)

4. (a) What type of industry is Solstice Ltd? (1 mk)

(b) Name ONE other type of business which belongs to the same type of industry. (1 mk)

Total 12 marks

PROFILE 2: PRODUCTION AND MARKETING

5. List two factors which could influence Solstice Ltd. in deciding where to set up new branches of the business. (2 mks)

6. Discuss three benefits which the company will enjoy by having a chain of supermarkets. (3 mks)

7. (a) List three methods which the company might use to promote the launch of its FIRST branch. (3 mks)

(b) Explain any one of the promotional methods you identified in (a) above. (1 mk)

8. (a) Discuss one benefit of Solstice Ltd. having its own brand name. (2 mks)

(b) Outline one difficulty relating to marketing which Solstice Ltd. might face. (1 mk)

Total 12 marks

PROFILE 3: FINANCE AND INTRODUCTION TO ECONOMICS

9. List three types of insurance which are relevant to Solstice's business. (3 mks)

10. Identify two ways in which the company can contribute to the economy of the country. (4 mks)

11. Give one effect on the business of

(a) an increase in interest rates (1 mk)
(b) a decrease in interest rates (1 mk)

12. Outline two strategies which Solstice Ltd. might use to raise funds to expand the business. (2 mks)

13. List two transport documents which Solstice Ltd. is likely to use in the conduct of its business. (2 mks)

14. Identify three methods of payment which customers may use when making purchases from the company. (3 mks)

Total 16 marks

Your assignment is to go through these questions and see how many of them you can answer. Next week I will give you some guidance in terms of the units of the syllabus that you may get some information in order to give acceptable answers. See you.

* Yvonne Harvey teaches at Glenmuir High School.