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CXC paper 1 2019

Total questions: 30

Worksheet time: 15mins

Name
Class
Date
1.

Which of the following types of business environments is MOST typical of the Commonwealth Caribbean?

a)

Corporate state

b)

Mixed economy

c)

Centrally planned

d)

Perfectly competitive

2.

Which of the following is NOT a function of money?

a)

Indivisibility

b)

Store of value

c)

Measure of value

d)

Medium of exchange

3.

A MAJOR function of the public sector is to:

a)

Make a profit

b)

serve the entire population

c)

serve the interests of the shareholders

d)

inspire competition among businesses

4.

The legal responsibility of a sole proprietor to pay any money owed by the business is described as:

a)

risk

b)

insurance

c)

limited liability

d)

unlimited liability

5.

Private enterprise is run MAINLY to

a)

create profits

b)

reduce inflation

c)

distribute goods and services

d)

provide jobs for more people

6.

Selecting the objectives and the procedures for achieving goals is referred to as:

a)

planning

b)

organizing

c)

controlling

d)

motivating

7.

Which of the following actions BEST describes an authoritarian leader?

a)

Willing to take suggestions

b)

Allowing workers to plan their own work

c)

Making decisions without consultation

d)

Consulting stakeholders who will be affected by decisions

8.

Which of the following actions demonstrate the characteristics of a good leader?

I. Inspires workers

II. Delegates responsibilities

III. Makes intelligent decisions

a)

I and II only

b)

I and III only

c)

II and III only

d)

I, II and III

9.

Which of the following are benefits of written communication?

I. Instant feedback

II. Provides evidence

III. Useful for detailed messages

a)

I and II only

b)

I and III only

c)

II and III only

d)

I, II and III

10.

Under which of the following categories would subsidized meals for employees fall?

a)

Fringe benefits

b)

Duty allowance

c)

Wages and salaries

d)

Workmen's compensation

11.

Which of the following is a regulatory issue for the entrepreneur?

a)

Using a credit card to transact business

b)

Offering hire purchase options to customers

c)

Paying national insurance to the government

d)

Advertising the business locally and regionally

12.

Cash used to secure a loan at the bank is referred to as:

a)

collateral

b)

fixed assets

c)

current assets

d)

fixed deposits

13.

The condensed version of the business plan is contained in the:

a)

feasibility plan

b)

marketing plan

c)

keynote summary

d)

executive summary

14.

An analysis of the viability of a business idea and an examination of the different aspects of operating a business is known as a:

a)

business plan

b)

market survey

c)

feasibility study

d)

research proposal

15.

An entrepreneur may reduce his risk of loss by:

a)

planning ahead

b)

securing bank loans

c)

sponsoring community projects

d)

purchasing additional fixed assets

16.

Omari, a teenager, wanted to earn extra income, so he offered to wash cars for $10. Ms Griffith brought her car to be washed. Omari washed the car and Ms Griffith paid him $15. What type of contract is demonstrated in the case above?

a)

Social

b)

Simple

c)

Business

d)

Specialty

17.

A contract may be discharged by:

a)

breach

b)

change of mind

c)

inconsideration

d)

misappropriation

18.

Which of the following factors prevents an agreement from being considered a valid contract?

a)

Consideration

b)

Legal purpose

c)

Misrepresentation

d)

Offer and acceptance

19.

The monthly payments made to an insurance company by its policyholders are known as:

a)

deposits

b)

premiums

c)

instalments

d)

endowments

20.

Which of the following conditions would constitute a linkage between two industries?

a)

Two firms manufacture similar goods.

b)

One firm share the use of machinery with another firm.

c)

Two firms are responsible for the manufacture of different kinds of goods.

d)

The output of one industry of the economy becomes the input of another industry.

21.

Which of the following types of capital is used for the day-to-day operations of a business?

a)

Fixed

b)

Floating

c)

Working

d)

Nominal

22.

To which of the following industries does a firm involved in food processing belong?

a)

Service

b)

Extractive

c)

Construction

d)

Manufacturing

23.

Which of the following results is LEAST likely to occur from growth in an organisation?

a)

Greater productivity

b)

Greater division of labour

c)

Increased communication

d)

Increased capital investment

24.

Productivity can be measured by:

a)

Inputs/Outputs

b)

Inputs/Revenue

c)

Revenue/Outputs

d)

Outputs/inputs

25.

Which of the following businesses may BEST be classified as a cottage industry?

a)

Mary's Craft Supplies, located at home

b)

HMM Superstore, located in a rural area

c)

Peter and John's company, located in Jamaica

d)

People's Cooperative Bank, located in Trinidad

26.

The amount of labour available for productive activity is known as:

a)

employment

b)

labour force

c)

labour movement

d)

efficiency of labour

27.

The BEST medium of advertising for an area of high vehicular traffic is:

a)

posters

b)

magazines

c)

newspapers

d)

point of sale displays

28.

The term 'loss leader' is BEST described as a product which:

a)

has no real market value

b)

the retailer is unable to locate

c)

the retailer gives away to customers

d)

is sold cheaply to attract customers

29.

Product, price, promotion and place are components of a

a)

market study

b)

marketing mix

c)

market research

d)

sales promotion

30.

A situation where a business gains editorial space without having to pay for it is called

a)

publicity

b)

marketing

c)

advertising

d)

discounting