2007unit1capemanagementofbusinesspaper1 Pastpaper 140114223112 Phpapp02

8/11/2019 2007unit1capemanagementofbusinesspaper1 Pastpaper 140114223112 Phpapp02

http://slidepdf.com/reader/full/2007unit1capemanagementofbusinesspaper1-pastpaper-140114223112-phpapp02 1/6

906-4493

,

968-A427

24

Per

1

June

2007

--__l

1.

Which options

BES'I representthe

ohjectives

of

the

CSME?

I.

Politicalintegration

ll.

Common

external taritl

TII.

Frcc

movement of

PeoPle

IV.

Free

movement

of

caPital

(Ai

lll

and

lV onlY

(B)

I,

Ill

and

IV

orrlY

(C)

II,

III

and

IV

only

{D)

I,

fI, lll

and

IV

(iol'ernrnent's

pay.ment,

to a domestic

producer.

in

the fonn

of

a

tax

relief is

known

AS

(A)

quota

(B)

tariff

(C)

subsidy

(t)) corporate

tax

In a

planned ecorlomy,

the

government may

seek

to correct

market failures

bY

(A)

advertising

reform

(B)

offering welfare

benefits

(C)

making

ectxomic

decisions

(D) ralioningthc

supPlY

of

goods

Caribbean

privatc scctor

organiTstions

are

largel;-

intluenced

b;-

their

(A)

conccrn

for

the

t'lora

and

fauna

(t])

desire

to

sun'ive or

gain

high

profits

(C)

desire

to

lunction

in

an

open

honest

m:r[ner

(D)

desire

to

correct

inequities

in

pay

packages

Which one

of

the

f<rllowing

BESI'

explains

the

term'

privatization'

?

(A)

The

selling

of

government

assets

to

a

private

business

(B) BusinessesoperatingprivatelY

rvithout

starc

interference

(C)

The

transfer

of

ownershiP

from

public

sector

to

Private

entity

(D)

When

a business,

public or

private'

'

decidcs

to keeP

decisions secret

'l'he

ability

of

a registered

company

to

enter

in

a

contract

is

bascd on the

corrtpatrl''s

(A)

iimitedliabihlv

(l])

iegal personaliry

(C)

articles

of incorPoration

(D)

memorandum

of association

The

mission

slatement

of an

organization

defi

nes

the organ

ization's

(

A)

purpose and direction

(B)

strategic

objectives

(C)

long-temr

goals

*'hich

it hopes

to

achieve

(D)

strategic.

tactical

and

operatiorral

objectives

One

advantage

of

a

nrixed

economy

is

that

(A)

the

state

pr<rvides

public

g<rods

(B) there is

no

wasteful

comPetition

(C)

thc

price

of all

goods is dictated

by

rnarket

lorces

(D)

the

private

sector

provides

essential

sen'ices

for

consumers

5.

ft



t-

906-4493

,

968-8a27

25

9.

Which

one

of

the

following

is a feature

of

10.

co$push

inflation?

Which

of

the following

are

benefits

of

Caribbean-based

multinational

companies?

(A)

(B)

(c)

(D)

Hi$

levelofwages

Lower

co$

ofproduction

Increase

inthe

money

supply

Increased demand

for goods and

serrices

t.

II.

IU.

IV,

Reduced imports

Increased

productivity

Repatiation ofprofits

Creation

of employment

(A)

I

and

[V only

(B)

III

and

[V

only

(C)

L

II

and

III

only

(D)

I[,

il,

and tV only

IlelaEAL.

la

referto

the

networft diagram below.

ll

The critical

path

is

13.

The

duration of

the CPA

is

(A)

16

day's

(B)

t7 days

(C)

21

days

(D)

28 days

(A)

(B)

{c)

(D)

A-C.D.F

A-C.E-F

A-B-D-F

A.B.C.D.E.F

12.

In

which

of

the

following

activities

can

work

be

delayed?

(A)

BandDonly

(B)

CandEonly

(C)

A,

C, E,

and F

(D)

A,

B,

D

and

F



906-4493, 968-8427

26

l4 St. Nolbs, a Caribb€an

Island,

has

beon

experiencing

a

dccline in

its

GDP

for the past

six months.

How would

this

economic

situation afFect local

producers?

(A)

Reduce

demand

for

workers

(B)

Extend

product

range

for designer

products

(C)

fncrease output

for

goods

and

services

(D)

lmprove relations

b€t\neen

employers

and

employees

How

would

tlritish

tourists

r:rvelling

to

Paradise

Island

be recorded

in

the

Balance

of Payments of Paradise

tsland?

(A)

Increa-se

in

visible

trade

(B)

f)ecrease

in

visible

trade

(C)

Increase in

invisiblc

trade

iD)

Decrease

in

invisible

trade

An

organizational

struchrre

which

is'task'or

'proj€ct'

focused

is said

to

be

(A)

marrix

(B)

functir:nal

(C)

concentric

(D)

hierarchical

'I'he

assignment

of

tasks,

grouping

of

'tasks'

into

departments

and allocating

ofresources

are

the

management

function

of

{A)

leading

(B) plaruring

iC)

orppnizing

(D)

conrrolling

Which one

of

the following

theorists referred

to

man

as an

"Economic

Animal"?

(A)

Henri Fayol

(B)

FrederickThylor

(C)

Abraham

lvlaslorv

(D)

Frederick

Herzberg

f

9. At which

stage

in

group

formation

does

conflict

and

resistance

arise?

(A)

Forming

(B)

Norming

(C)

Storming

(D)

Performing

20. A leadercan

BEST bedescribed

asonewho

(A)

emerges

from

within

the

group

(,8)

is appointed

to

a

position

of formal

authority

(C)

organizes

resources to meet

the

objectives

of rhe

organization

(D)

influences

others to

perform

beyond

the actions

dictated by

formal

authority

21.

The

person

who

is

elected

at the

warkplace

to represent union

members

at a local

level

is

the

(A)

shop steward

(B)

branch ofYicer

(C)

executiv€ leader

(D)

trade union

leader

22

-

T?re

tearn member

who

is

action-oriented

and

enjoys

challenges

is

BEST

described

as

(A)

a

shaper

(B)

an

evaluator

(C)

a

specialist

(D)

a

resource

investigator

23. Which

one

of

the

following

organizational

structures

is a multinational corporation

MOST likely toadopt?

(A)

Marrix

(B)

Functional

(C)

CeograPhical

(D)

Product

based

l5

t6

t7

t8

ft



aa

-rul$i.'*

;.?ft 5,

"T;t:H;;

27

2E

24.

When the marketing

manager

advises

the

production

matrager

on

a

new product,

rvhat

type

of authority

is

displayedbythe

marketing

manager?

{A)

Line

(B)

Staff

(C) Funaional

(D)

Line

and

Staff

When Sonia

Green,

the

Marketing

Manager

ofSonia's

Shoe

Stores,

s€ts

new

sales

targets

and

develops

strategies

to achieve

them'

she

is de.nonstraring

the menagement

function

of

(A)

Ieading

(B)

planning

(C) conholling

(D)

organizing

anything

receiving

ln Maslow's

hierarcby

of

necds,

in

which

level

of

needs

does

'OPen

and

honest

communication

among employecs'

belong?

tA)

Safety

(B)

Esteem

(C)

Self

aczualization

(D)

Social

the BCC

Banking

&

Investment

Company

isplaruring

to

computeriae

some

of

its services

within

the

next

six

months.

I{ow

BEST

should

management

implemant

this change?

(A)

'Leak'

iniormation

and

await

feedback

and

train the

remaining

employees.

(B) O{fer

voluntary

severance

and

train

the

remainin

g

work

force'

(C) Meet

with

key

personoel

and

await

feedback

pricr

to

implementation'

(D)

Implementaredundancyprogramme

with

immediate

effect.

Christopher sought

the legal

advice

of

a

tnbunal

because

of an

unfair

dismissal

at

his

workplace.

An

L|NLIKELY

decision

of the

tribunal

is that

the

emPloYec

(A)

sues

the

emPloYer

(B) be reinstated

in

ttre same

job

(C)

be

reinstated

in

another

job

(D)

receives

compensation

tbr the

unfair

dismissal

29

2S

26.

ln

the

communications

Process

which distracts

the

receiver

from

the

message

is

known

as

(A)

noise

(B)

an cncoding

(C)

a

decoding

{Di

feedback

27. Upward

communicatron

occurs

when

3{}

(A)

(B)

(c)

(D)

instructions

are

given

to

subordimtes

objectives

are communicatcd

to

the

rank

and

file

employees

are

allowed

to

exPress

their views

members

of staff

coordinate

tasks

within

thcir

deParlments

)



906-4493,

968-A421

28

3

I

.

\llhich

one ofr.he

following

is

NOT

monitored

by

u'orking

capital

management?

(A)

Stock

(tl)

Debtors

(C)

Creditors

(Di

Fixed

assets

32.

Which

one

of

the

following is

m extemal

.lonll-term

source

of finrueing?

(A)

Leasing

(B)

Trade credit

(C)

Share capital

(D)

Hire

purchase

33.

\f/hich

one

of

the

following

is

NOT

a

financial

sfatem€nt?

(A)

Trial

balance

(B)

Balance

sheet

(C)

Cash

flow

statement

. (D)

Profit

md loss

account

34.

lf a

corrpany

is

highly

geared, ir means

that

a

high

proportion

of

its

finance

is

(A)

cash

(Bi loan

(Ci profit

(D)

equity

35.

Which

one

of

the

following

is NOT

an

investment appraisal technique'l

(A)

Cost

benefit

.

(B)

Paytrack

period

(C)

Net present

value

(D)

Average

rate of

rerurn

36.

The

balance

sheet

equation can

be

wrifien

as

(A)

CA

r-

CL:

C

-+

L

(B)

FA-CA:C+L

(C) CA(F+CL):C+L

(D)

F-|(CA-CL):C+t-

37

-

\Vhich

one

of the following

sources

of finance

is

LEAST likety

to

be used

as invesrment in

a

new

product development?

(A)

Debentures

(B)

Share

issues

iC)

Bank

overdraft

(D)

Bank

loan

38.

A

main draw'back

of leasing

is that

(A)

the

asset

is

not owned b:r'

the

Iessee

(B)

it

is a

binding

contract

with

the

lessor

(C)

onl-v

t}e

short

term

cash

flow

pnsition

is

improved

(D)

a

periodic payment

is

made

over

the

,

life

of

the agreement

3

9

. Sunshine

Limited

keeps

records and

accounts

of all of its financial

transactions. Which

one

ol'the

follo*.ing

groups

is

the IVIAIN user

of

the

fi nancial

information?

(

A

)

Suppliers

(B)

Employees

(C)

(iovernment

(D)

Marragement

40

.

An

increase

in the

provision

lbr

doubtfirl debts

u,ill

rcsult

in

(A)

an

increase

in

current

assets

(B)

an

increase

in

crrrre.nt

liabilities

(C)

a

credit

adjusrment

ro

rhe

income

{D)

statement

a

debit adjustmcnt

to the income

statement

41.

Slraigbt-line

depreciation

is

MOST

suited

to

an

asset

which

(A)

is

more

efficient in the

early years

(B)

is

more

efficient in rlre

later years

(C)

provides

th€

same

quality

of

service

in

all

years

(D)

needs

frequenr

repairs

and

maintenance

as it

gets

ol{er

.

ft



906-4493

,

96A-8427

29

44

2. Which

of

the

following costs

will

appear in

the

cost

of

sales

of

a

retailer?

Tbe

foliowing is

an

extract

of

a firm's

balance

sheet as et 31112106.

EXTRACT

Opening Capital $200,000

Net

Profit $100,000

Drarvings

S

50.000

$3s0'0tr)

The

return on

capital invested

is

(A) ttr,

43.

I.

II.

III.

v.

(A)

(B)

(c).

(D)

(A)

(B)

(c)

(D)

M&T Ltd

has issued

50

000

sharcs

at

$2.00

EACH.

the

company's net

profit after tax

is

$212

000.

At the

end

of

the

year

the

market

vaiue

of

the

shares is

$3.75.

The

eamings

per

share

ratio

is

4OV6

Item.

1,5

refers

to

the

following

table

1'he closing

cash

balance

is

(A)

$

2

000

(B)

$26000

(c)

$28 000

(D)

$40ooo

Advertising

Carriage

In

Purchases

Depreciation

I

and

II only

Iand

III only

II

and III only

iI

and

IV

only

$4.75

s4.25

$2.75

s2.00

(B)

50%

c)

80o/o

D)

45

Net cash inflow

from operation

$46

000

'laxation

pard

$12

000

Par.rnent of frxed

asset

$19

000

Share issue $13

000

Documents

2007unit1capemanagementofbusinesspaper1 Pastpaper 140114223112 Phpapp02