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1

What is the name given to those activities that help to provide customers with goods and services?

2. Commercial operations  →  2.4. Wholesaling

1. Commerce and production  →  1.2.6. Costs involved in trade, commerce and production

1. Commerce and production  →  1.1.2. Aids to trade and logistics

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2

Which statement about commerce is correct?

1. Commerce and production  →  1.1.4. The relationship between production, trade and commerce

1. Commerce and production  →  1.2.6. Costs involved in trade, commerce and production

1. Commerce and production  →  1.1. Trade and commerce

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3

The table shows the number of people employed productively in a country. commercial services 200 000 direct services 70 000 farming and fishing 280 000 manufacturing and building 350 000 900 000 How many people are employed in the secondary sector of production?

1. Commerce and production  →  1.2. Production

1. Commerce and production  →  1.1.4. The relationship between production, trade and commerce

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4

Why are there more new businesses in the retail trade than in manufacturing?

2. Commercial operations  →  2.3. Retailing

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5

The picture shows a label from an article of clothing. mirabella What is the purpose of the label?

2. Commercial operations  →  2.4. Wholesaling

5. Aids to trade that support commerce  →  5.1. Advertising

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6

What advantage does Coolsounds Ltd have from selling its CDs and DVDs over the Internet?

2. Commercial operations  →  2.3.4. Effects of ecommerce on traditional commerce

2. Commercial operations  →  2.3. Retailing

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7

Ahmed has seen an advertisement for a computer. It includes the words ‘credit terms available’ after the price shown...

5. Aids to trade that support commerce  →  5.1. Advertising

5. Aids to trade that support commerce  →  5.2. Banking

6. Sustainability and ethics  →  6.3. Consumer protection

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8

Why might a consumer organisation advertise?

5. Aids to trade that support commerce  →  5.1.4. Sales promotion

5. Aids to trade that support commerce  →  5.1. Advertising

6. Sustainability and ethics  →  6.3. Consumer protection

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9

A sale of goods act requires the seller to supply goods that are A fit for purpose. B not over-priced. C of reasonable quality. D tested before use.

6. Sustainability and ethics  →  6.3. Consumer protection

2. Commercial operations  →  2.4. Wholesaling

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10

What has contributed to the elimination of the wholesaler?

2. Commercial operations  →  2.4. Wholesaling

2. Commercial operations  →  2.3. Retailing

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11

What is the function of brokers?

2. Commercial operations  →  2.4. Wholesaling

4. Logistics in commerce  →  4.2. Warehousing

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12

What does a buyer issue to find out the terms offered by a supplier?

2. Commercial operations  →  2.5. Trading documents

2. Commercial operations  →  2.5.3. Digital use of trading documents

1. Commerce and production  →  1.1. Trade and commerce

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13

A manufacturer makes a pair of jeans. The costs are as follows. materials $30 labour $20 overheads $30 The manufacturer marks up all its retail prices by 50 %. What is the selling price of the jeans?

2. Commercial operations  →  2.4. Wholesaling

1. Commerce and production  →  1.2.6. Costs involved in trade, commerce and production

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14

Why are imports important to a country?

3. Globalisation of trade  →  3.1. International trade

1. Commerce and production  →  1.1. Trade and commerce

3. Globalisation of trade  →  3.1.2. Challenges of international trade to exporters and importers

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15

The table shows trade figures for Country X. Country X $ million total exports of goods total imports of goods services provided by Country X to other countries services provided to Country X by other countries What is the Balance of Payments for Country X?

3. Globalisation of trade  →  3.1.3. Balance of Trade and Balance of Payments

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16

Which is a function of a customs authority?

3. Globalisation of trade  →  3.1.2. Challenges of international trade to exporters and importers

1. Commerce and production  →  1.1.2. Aids to trade and logistics

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17

How do trading blocs, such as ASEAN and SADC, help to increase international trade?

3. Globalisation of trade  →  3.1.4. Free trade, trading blocs, trade restrictions and sources of support for exporters

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18

Why do firms advertise?

5. Aids to trade that support commerce  →  5.1. Advertising

5. Aids to trade that support commerce  →  5.1.4. Sales promotion

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19

An international bank intends to advertise a new credit card using prestige and high status as a method of appeal to customers. Which slogan would be most suitable?

5. Aids to trade that support commerce  →  5.2. Banking

5. Aids to trade that support commerce  →  5.1.3. Methods of appeal used in advertising

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20

Communications play an important part when trade takes place within the global economy. Which reason best explains the above statement?

1. Commerce and production  →  1.1.2. Aids to trade and logistics

1. Commerce and production  →  1.1.4. The relationship between production, trade and commerce

3. Globalisation of trade  →  3.1.3. Balance of Trade and Balance of Payments

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21

Which telecommunication service allows discussion between people in different places at the same time?

2. Commercial operations  →  2.6.2. Methods of communication

2. Commercial operations  →  2.6. Communication

2. Commercial operations  →  2.6.3. Factors that affect communication

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22

Which postal service would a large business organisation use to send monthly statements or accounts to its customers?

5. Aids to trade that support commerce  →  5.2. Banking

2. Commercial operations  →  2.5.3. Digital use of trading documents

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23

The diagram shows a barge / bumboat. What is most likely to be transported by this method?

4. Logistics in commerce  →  4.1. Transport

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24

Consignment notes are used when delivering goods by A container ships. B independent transport firms. C manufacturer’s own trucks. D pipelines.

1. Commerce and production  →  1.1.2. Aids to trade and logistics

4. Logistics in commerce  →  4.1. Transport

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25

What is required for the good running of a warehouse?

4. Logistics in commerce  →  4.2. Warehousing

2. Commercial operations  →  2.4. Wholesaling

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26

Which statement describes a cash and carry warehouse?

4. Logistics in commerce  →  4.2. Warehousing

2. Commercial operations  →  2.3. Retailing

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27

When are imported goods released from a bonded warehouse?

4. Logistics in commerce  →  4.2. Warehousing

4. Logistics in commerce  →  4.1. Transport

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28

The diagram shows the pooling of risk. insurance pool insured public X make payments for losses expenses dividends to investors What is the missing statement marked X?

5. Aids to trade that support commerce  →  5.3.3. How enterprises make use of insurance

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29

The ‘insured’ is the name given to the A insurance company offering insurance. B payment made for insurance. C person who is covered by insurance. D property that is covered by insurance.

5. Aids to trade that support commerce  →  5.3.3. How enterprises make use of insurance

5. Aids to trade that support commerce  →  5.3. Insurance

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30

Which statement is true of a bank current account?

5. Aids to trade that support commerce  →  5.2. Banking

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31

A bank statement for Miss Chang is shown...

3. Globalisation of trade  →  3.1.3. Balance of Trade and Balance of Payments

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32

Why are ATMs used by many bank customers?

5. Aids to trade that support commerce  →  5.2. Banking

5. Aids to trade that support commerce  →  5.2.2. Digital technology in banking

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33

Why has Internet banking increased rapidly during the last three years?

5. Aids to trade that support commerce  →  5.2.2. Digital technology in banking

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34

Mrs Matumbe wishes to set up a small shop selling clothing. The most important factor she should consider when choosing where to open her shop is nearness to A customers. B suppliers. C transport. D workers.

2. Commercial operations  →  2.1.5. Physical and ecommerce location factors

2. Commercial operations  →  2.3. Retailing

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35

A company’s share capital consists of 100 000 ordinary shares at $2 per share. What is the voting power of a shareholder who owns $2000 worth of these shares?

5. Aids to trade that support commerce  →  5.4. Sources of finance and commercial performance

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36

Mr Patel, his brother and his cousin, wish to set up a new business venture offering accountancy services. Which type of business organisation should they form?

2. Commercial operations  →  2.1.2. Types of private and public sector enterprises

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37

Which definition describes a multinational company?

2. Commercial operations  →  2.1.3. Multinational companies (MNCs) in the global economy

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38

What is a characteristic of a bank overdraft?

5. Aids to trade that support commerce  →  5.2. Banking

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39

The table below shows figures taken from a trader’s books for the year 2008. gross profit $20 000 net profit $12 000 cost of goods sold $80 000 cost of average stock $10 000 What were the total expenses?

5. Aids to trade that support commerce  →  5.4.2. Commercial calculations

1. Commerce and production  →  1.2.6. Costs involved in trade, commerce and production

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40

Which business is likely to have the highest rate of turnover?

2. Commercial operations  →  2.3. Retailing

2. Commercial operations  →  2.4. Wholesaling

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