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1

At which stage is production completed?

2. Commercial operations  →  2.4. Wholesaling

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

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2

In the manufacturing of a pair of jeans, how is value added to the cloth?

2. Commercial operations  →  2.4. Wholesaling

1. Commerce and production  →  1.2.2. In-house production and outsourced production

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3

Many factories use division of labour in the production process. Which feature of division of labour might be an advantage to a factory worker?

1. Commerce and production  →  1.2. Production

1. Commerce and production  →  1.2.2. In-house production and outsourced production

4. Logistics in commerce  →  4.2. Warehousing

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4

The diagram shows the four provinces of a country and their specialisms. western province – agriculture northern province – mining southern province – banking and finance eastern province – textiles Which province specialises in tertiary 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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5

What is not a function of a retailer?

2. Commercial operations  →  2.4. Wholesaling

1. Commerce and production  →  1.2.4. Intermediaries in a supply chain

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6

A town has the following numbers of retail outlets. 1 department store 2 variety chain stores 3 supermarkets 22 independent stores 10 multiple chain stores 30 hawker stalls How many large-scale retailing outlets are there in this town?

2. Commercial operations  →  2.3. Retailing

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7

What is an example of after-sales service?

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

2. Commercial operations  →  2.4. Wholesaling

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8

Why has internet shopping increased?

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

2. Commercial operations  →  2.3.3. Digital retail trends

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9

Informal credit is most likely to be offered to customers of A department stores. B hypermarkets. C independent retailers. D multiple shops.

2. Commercial operations  →  2.3. Retailing

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

2. Commercial operations  →  2.4. Wholesaling

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10

How can a consumer protect themself against unfair trading practices?

6. Sustainability and ethics  →  6.3. Consumer protection

6. Sustainability and ethics  →  6.2. Ethics

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11

Four customers are discussing the problem of a faulty product costing $10. Which customer has taken the most appropriate action?

6. Sustainability and ethics  →  6.3. Consumer protection

6. Sustainability and ethics  →  6.2. Ethics

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12

Four channels of distribution are shown...

2. Commercial operations  →  2.3. Retailing

2. Commercial operations  →  2.4. Wholesaling

1. Commerce and production  →  1.2.4. Intermediaries in a supply chain

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13

What is the function of a broker?

2. Commercial operations  →  2.4. Wholesaling

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

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14

Mr X purchased watches at $5000 from Mr Y and received an invoice for the amount due. Later, Mr Y sent Mr X a credit note for $1000. How much does Mr X now owe Mr Y?

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15

On 5 November, a sports equipment shop bought sportswear valued at $10 000 and received 20% trade discount and 5% 30 days cash discount. If payment was made in full on 3 December, how much was paid?

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16

What 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. Trade and commerce

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

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17

A country has recently placed an embargo on the import of all canned food. What will this mean for canned meat suppliers from other countries who regularly export to that country?

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

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

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18

The table below shows a country’s international trade. exports $ bn imports $ bn visible invisible What is the balance of payments on the current account?

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

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19

Which slogan is an example of collective advertising?

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

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20

Amos Patel wishes to use the internet to promote his business. He has arranged to place a pop-up advertisement on the website of a well-known company. What advantage is gained by Amos?

5. Aids to trade that support commerce  →  5.1.2. Methods of traditional and digital advertising media

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

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21

The diagram below shows four methods of communication used by The GE Company. Which method of communication would be used for external communication?

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

By what means is a business most likely to send urgent and confidential documents to clients?

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

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

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23

Which is not an advantage of sending an item by registered mail?

4. Logistics in commerce  →  4.1. Transport

2. Commercial operations  →  2.6.3. Factors that affect communication

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24

What is an advantage of road transport over rail transport?

4. Logistics in commerce  →  4.1. Transport

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25

How do low-cost airlines reduce their costs?

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

2. Commercial operations  →  2.3. Retailing

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26

Which airport service is least likely to assist the import and export of goods?

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

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

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

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27

Which feature applies to all types of warehouse?

4. Logistics in commerce  →  4.2. Warehousing

2. Commercial operations  →  2.3. Retailing

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

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28

There are several types of warehouse where bulk quantities of goods are stored. In which warehouse will seasonal non-perishable goods be stored until they are sold?

4. Logistics in commerce  →  4.2. Warehousing

2. Commercial operations  →  2.4. Wholesaling

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29

Which circumstance is an insurable risk?

5. Aids to trade that support commerce  →  5.3.2. Types of insurance risk

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

The diagram shows the procedure for taking out an insurance policy through an insurance broker. proposer contacts insurance broker proposer completes proposal form X proposer pays insurance premium insurance company issues policy What is X?

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

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31

A record of the customer’s transactions with a bank is available to the customer in the form of A a credit slip. B a letter. C a statement. D an account.

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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32

Why are deposits at commercial banks classified as money?

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

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

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33

What is a bill of exchange?

2. Commercial operations  →  2.5.2. Documents of international trade

2. Commercial operations  →  2.5. Trading documents

1. Commerce and production  →  1.1. Trade and commerce

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34

An expanding business requires a large area for a factory building. Where would it be likely to locate?

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

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35

Which statement best describes how a public sector firm differs from a private sector firm?

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

2. Commercial operations  →  2.1. Commercial enterprises

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36

Mr Patel’s computer advisory service has grown quickly. He decides to set up a franchise. What does this mean for Mr Patel?

2. Commercial operations  →  2.1.4. Franchises

5. Aids to trade that support commerce  →  5.4.3. Improving commercial performance

2. Commercial operations  →  2.3. Retailing

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37

Which source of finance is the most appropriate for a company that wishes to replace its vehicles every two years?

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

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38

What is an example of short-term finance for a company?

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

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39

What is part of a clothing manufacturer’s fixed (non-current) assets?

2. Commercial operations  →  2.4. Wholesaling

2. Commercial operations  →  2.3. Retailing

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40

A retailer has the following trading figures. $ sales 750 000 cost of goods sold 500 000 opening stock 40 000 closing stock 60 000 What is the retailer’s rate of inventory turnover?

2. Commercial operations  →  2.3. Retailing

2. Commercial operations  →  2.4. Wholesaling

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

Open