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November 2012-question-paper-22

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Maria Aragone

This document consists of an 11 page exam for the International General Certificate of Secondary Education in Business Studies. The exam contains 5 questions testing students' understanding of business concepts related to sole tradership, targeting customers, measuring business size, and business expansion options. Students are instructed to answer all questions in dark blue or black pen without using staples, paper clips, or correction fluid. Diagrams and a case study are provided in an insert for reference.

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This document consists of 11 printed pages, 1 blank page and 1 Insert. DC (CW) 49282/2 © UCLES 2012 [Turn over UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS International General Certificate of Secondary Education *1749393873* BUSINESS STUDIES 0450/22 Paper 2 October/November 2012 1 hour 45 minutes Candidates answer on the Question Paper. No Additional Materials are required. READ THESE INSTRUCTIONS FIRST Write your Centre number, candidate number and name on all the work you hand in. Write in dark blue or black pen. Do not use staples, paper clips, highlighters, glue or correction fluid. DO NOT WRITE IN ANY BARCODES. Answer all questions. The Insert contains the case study. The businesses described in this question paper are entirely fictitious. At the end of the examination, fasten all your work securely together. The number of marks is given in brackets [ ] at the end of each question or part question. For Examiner’s Use 1 2 3 4 5 Total
2 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 1 (a) Identify and explain four disadvantages for Trunal of setting up as a sole trader rather than working for an employer. Disadvantage 1: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Disadvantage 2: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Disadvantage 3: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Disadvantage 4: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... ......................................................................................................................................[8]
3 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) Trunal is thinking of targeting just one type of customer. Do you think this is a good idea? Justify your answer using only the information in Appendix 1. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
4 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 2 (a) KK Cars is described as a small business. Identify and explain two ways the size of this business can be measured. Way 1: .............................................................................................................................. .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Way 2: .............................................................................................................................. .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ......................................................................................................................................[8]
5 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) Trunal wants to expand his business. Refer to the two options suggested in Appendix 3. Consider the advantages and disadvantages of each of these options. Recommend which option Trunal should choose. Justify your answer. Option 1: .......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Option 2: .......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Recommendation: ............................................................................................................ .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
6 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 3 (a) Refer to Appendix 2. Trunal needs more information to be able to calculate what price to charge the customer. Identify four pieces of information missing from this email and explain why each would be needed. Information 1: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Information 2: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Information 3: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Information 4: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... ......................................................................................................................................[8]
7 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) If Trunal decides to expand his taxi service as explained in Option 2 then he will need to promote this service. Consider three methods of promotion he could use.Which method of promotion would be most effective? Justify your answer. Method 1: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 2: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 3: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Recommendation: ............................................................................................................ .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
8 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 4 (a) If Trunal decides to lease a large luxury car he will need to employ skilled drivers. Explain how a job specification and interviewing applicants will help him to recruit the best drivers. Job specification: ............................................................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Interview: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ......................................................................................................................................[8]
9 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) Consider three methods Trunal could use to motivate these drivers. Which do you think will be the most effective method for Trunal’s business? Justify your answer. Method 1: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 2: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 3: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Recommendation: ............................................................................................................ .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
10 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 5 (a) The rate of economic growth in country X fell from 4% to 0% in the last year. Identify and explain two effects this might have on KK Cars. Effect 1: ............................................................................................................................ .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Effect 2: ............................................................................................................................ .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ......................................................................................................................................[8]
11 0450/22/O/N/12© UCLES 2012 For Examiner’s Use (b) Consider the effects on Trunal’s business of each of the following legal changes. Higher standards of safety for taxis: ................................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Shorter working hours for taxi drivers: ............................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Lower speed limits for taxis: ............................................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
12 0450/22/O/N/12© UCLES 2012 BLANK PAGE Permission to reproduce items where third-party owned material protected by copyright is included has been sought and cleared where possible. Every reasonable effort has been made by the publisher (UCLES) to trace copyright holders, but if any items requiring clearance have unwittingly been included, the publisher will be pleased to make amends at the earliest possible opportunity. University of Cambridge International Examinations is part of the Cambridge Assessment Group. Cambridge Assessment is the brand name of University of Cambridge Local Examinations Syndicate (UCLES), which is itself a department of the University of Cambridge.

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November 2012-question-paper-22

  • 1. This document consists of 11 printed pages, 1 blank page and 1 Insert. DC (CW) 49282/2 © UCLES 2012 [Turn over UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS International General Certificate of Secondary Education *1749393873* BUSINESS STUDIES 0450/22 Paper 2 October/November 2012 1 hour 45 minutes Candidates answer on the Question Paper. No Additional Materials are required. READ THESE INSTRUCTIONS FIRST Write your Centre number, candidate number and name on all the work you hand in. Write in dark blue or black pen. Do not use staples, paper clips, highlighters, glue or correction fluid. DO NOT WRITE IN ANY BARCODES. Answer all questions. The Insert contains the case study. The businesses described in this question paper are entirely fictitious. At the end of the examination, fasten all your work securely together. The number of marks is given in brackets [ ] at the end of each question or part question. For Examiner’s Use 1 2 3 4 5 Total
  • 2. 2 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 1 (a) Identify and explain four disadvantages for Trunal of setting up as a sole trader rather than working for an employer. Disadvantage 1: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Disadvantage 2: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Disadvantage 3: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Disadvantage 4: ............................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... ......................................................................................................................................[8]
  • 3. 3 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) Trunal is thinking of targeting just one type of customer. Do you think this is a good idea? Justify your answer using only the information in Appendix 1. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
  • 4. 4 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 2 (a) KK Cars is described as a small business. Identify and explain two ways the size of this business can be measured. Way 1: .............................................................................................................................. .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Way 2: .............................................................................................................................. .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ......................................................................................................................................[8]
  • 5. 5 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) Trunal wants to expand his business. Refer to the two options suggested in Appendix 3. Consider the advantages and disadvantages of each of these options. Recommend which option Trunal should choose. Justify your answer. Option 1: .......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Option 2: .......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Recommendation: ............................................................................................................ .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
  • 6. 6 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 3 (a) Refer to Appendix 2. Trunal needs more information to be able to calculate what price to charge the customer. Identify four pieces of information missing from this email and explain why each would be needed. Information 1: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Information 2: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Information 3: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... Information 4: ................................................................................................................... .......................................................................................................................................... Explanation: ..................................................................................................................... ......................................................................................................................................[8]
  • 7. 7 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) If Trunal decides to expand his taxi service as explained in Option 2 then he will need to promote this service. Consider three methods of promotion he could use.Which method of promotion would be most effective? Justify your answer. Method 1: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 2: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 3: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Recommendation: ............................................................................................................ .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
  • 8. 8 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 4 (a) If Trunal decides to lease a large luxury car he will need to employ skilled drivers. Explain how a job specification and interviewing applicants will help him to recruit the best drivers. Job specification: ............................................................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Interview: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ......................................................................................................................................[8]
  • 9. 9 0450/22/O/N/12© UCLES 2012 [Turn over For Examiner’s Use (b) Consider three methods Trunal could use to motivate these drivers. Which do you think will be the most effective method for Trunal’s business? Justify your answer. Method 1: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 2: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Method 3: ......................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Recommendation: ............................................................................................................ .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
  • 10. 10 0450/22/O/N/12© UCLES 2012 For Examiner’s Use 5 (a) The rate of economic growth in country X fell from 4% to 0% in the last year. Identify and explain two effects this might have on KK Cars. Effect 1: ............................................................................................................................ .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Effect 2: ............................................................................................................................ .......................................................................................................................................... Explanation: ..................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ......................................................................................................................................[8]
  • 11. 11 0450/22/O/N/12© UCLES 2012 For Examiner’s Use (b) Consider the effects on Trunal’s business of each of the following legal changes. Higher standards of safety for taxis: ................................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Shorter working hours for taxi drivers: ............................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... Lower speed limits for taxis: ............................................................................................. .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... .......................................................................................................................................... ....................................................................................................................................[12]
  • 12. 12 0450/22/O/N/12© UCLES 2012 BLANK PAGE Permission to reproduce items where third-party owned material protected by copyright is included has been sought and cleared where possible. Every reasonable effort has been made by the publisher (UCLES) to trace copyright holders, but if any items requiring clearance have unwittingly been included, the publisher will be pleased to make amends at the earliest possible opportunity. University of Cambridge International Examinations is part of the Cambridge Assessment Group. Cambridge Assessment is the brand name of University of Cambridge Local Examinations Syndicate (UCLES), which is itself a department of the University of Cambridge.