L A system. where production is organised sothat different operations can be carried out,one after the other in a continuous sequenceis known as

(A) job(B) flow(C) batch(I» project

2. Which of the following formulas representthe measurement of labour productivity?

(A)Number of hOllrs actually worked

Total possible hours pet day

(B)Output

Number of employees (per period)

(C)Output

Capital Employed

(D)Output

. Labour + materials + capital

3. Which of the following factors is LEASTlikely to affect the location of a large furnitureretail outlet?

(A) Cost of'land(B) Availability oflabour(e) Availability of raw materials(D) Quality ofthe local infrastructure

4. A type of costing which focuses only 011

variable costs and ignores fixed cost is knownas

CA)(B)(C)(D)

marginal Costingstandard costingfull costingtotal costing

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5. Which ofthe following is NOT a dimensior.of quality?'

{A) Serviceability(8) Aesthetics(C) ConformanceCD) Integration

6. Benchmarking encourages

(A)(B)(C)(D)

innovationcreativityquick improvementlow prices

7. Which of the followingBEST describes thefeatures of batch production?

(A) Regular demand, highly skilledworkforce, variation in product

(B) Regular demand, some variation inproduct, semi or unskilledworkforce.

(C) High steady demand, standar-dization, semi or unskilledworkforce

(D) Highsteady demand, variation inproduct, highly skilled workforce

8 .. Mr. Joe produces hand carved jewellery.Which type of production layout is BESTsuited for his business?

(A) Process(B) Fixed-Position(C) Product(D) Cellular Position

9. The layout of a workplace is very imporran:Which of the following is an example of ~Product Layout?

(A) Print shop(B) Car assembly(C) Seamsrrees(0) Hospital ward

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1o. Mr Ellie's production layout is one where themachines are arranged according to thesequence of steps in the production of hisproduct. Which facility layout is he using'?

(A)(B)(C)(D)

Fixed PositionProductCellularProcess

II. Dijo's,a manufacturer of video cameras,recently replaced their 10em camera with a4cm one. In which of the following forms ofproduct design did they engage?

(A)(8)(C)(D)

IntegrationMiniaturizationDesigningModularization

12 Work study is often viewed with suspicion bythe workforce because it is the

i A) means to increase individual output.iB ) basis of disincentive to pay schemes.:C i main deciding factor in downsizing ..Q! means to eliminate specialist task on

the job.

-3-

Items 13 ~ 14 refer to the following table.

Activity -~r Amount sSales Revenue

Direct Labour

Fixed Costs

f Direct Materials

. 1,0.00.,0.0.0

10.0.,00.0.units each at $2 EACH

200.,00.0.

30.0.,000

13. Thecontribution to fixed costs is

(A) $20.0,0.0.0.(B) $30.0,0.0.0(C) $50.0.,0.0.0.(D) $70.0.,000.

14, The profit is

(A) $Jo.o., 00.0.(B) $20.0.,0.00(C) $30.0.,000(D) $400.,000

Item 15 refers to the following diagram ofthe Product Life Cycle.

15. ]1] the diagram, at which point should a firmdecide to extend the market for its product?

(A) I(8) n(C) III(D) IV

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16.

17.

18.

19.

20.

"If we. mass produce, sell cheaply anddistribute intensi vely, we will be profitable."

Which of the following business conceptsdoes the above statement reflect?

(A) Selling(B) Product(G) Marketing(D) Production

Which of the following isNOT acriteria usedto test the effectiveness of segmentation?

(A) Realizability(B) Snstainability(C) Identifiability(D) Measurability

Which of the following may be used todescribe the term 'Loss Leader'?

(A) A product that is difficult to find(B) ,A product that is sold below cost(C) A manager who has no experience(D) A product that has no value to

consumers

A manufacturing company decides to aim itspromotion at the final customer rather thanat intermediaries. This strategy is known as

(A)(B)(C)(D)

pull promotionpush promotiondirect.promotioncustomerpromorlon

Which group BESTexplains 'belowthe line'promotion?

(A) Advertising, Pubicity and PersonalSelling

(B) P.ublicity, Sales Promotion andPersonal Selling

(C) Sales Promotion, Personal Selling andAdvertising

(D) Personal Selling, Advertising andSales Promotion

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21.

22.

23.

24,

Which of'thefollowing is NOT an objectiveoJ promotion?

(A) To inform(B) To coerce(C) To persuade(D) To make aware

Primary data is collected using which of thefollowing techniques?

I.II.

III.IV.

(A)(8)(C)(D)

SurveysObservationTradejourualsDelphi technique

I; Hand ill onlyH, lJIand IV only1',n and IV onlyIU only

Vidal is thinking about producing cricket gear.He was advised to conduct primary research.Which of the foHClwing.instruments would beMOS'Tappropriate'?

(A)(B)(C)(D)

fntemetQuestionnaireDesk researchLibrary research

At the introductory stage of the PLC, thepromotion strategy MOST LIKELY to beemployed would be the use of

(A)'8)'( .

(C)(D)

reminder advertisingminimal advertisinginformative.advertisingbrand differenti ation

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25.

- 5 -Which of the following reasons wouldjustifythe need to develop new products'?

L Be more competitiveIl, To lower prices

III.. Replace obsolete productsIV. Change in consumer taste

(A) I, ITand III only(B) 1,n and IV only(C) I, III and IV only(D) IT,III and IV only

26. To price his product, Paul decided to add 25%of the cost price to get his selling price. Thisstrategy is known as

(A)(B)(e)(D)

cost-pluszoin zrar e,-->,-, y.

perceived Valuecompetition pricing

Items 2-7- 28 refer to the following diagram.

The diagram illustrates

IAl

:B\fad P.L.Ctypical P.L.Cleap-frog p.L.estair-cased p.L.e

- '.\.::: :1;izht be the reason for such a behaviour

:--L;h;;rlevels of promotion'< ~"" ~~c5 found for the product;_~·c:..:c:i.:min level of competition:-;.:::.:.:'t:(111 in the price oftheproduct

-. -.-- -

Items 29- 3'0 refer to the following diagram.

29. A product has 3 dimensions or layers. Whichlayer is represented by the shaded region C?

30.

31.

(A) Cote(B) Formal(C) Tangible(D) Augmented

The characteristics of RegIon B include

(A) warranty, quality, function(S) features, style.packaging(C)sry1e, image, preservatives(D) delivery, guarantee, after-service

E-Commerce is best defined as

(A)(B)(C)(D)

using a skyboxselling on the internetbuying on the internetadvertising on the internet

32. Abeuefit of entrepreneurial activity toCaribbean economies is

(A)(B}(C)(D)

increase in GD. P.increase in importsincrease in Government.subsidiesincrease in foreign exchange rate

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33.

34.

35.

36.

37.

Which of the following is NOT required by anew business when applying for a loan?

(A)(B)(C)(D)

Reason for the LoanAn Financial recordsSome form of securityDescription of the business

Which one of the following is NOT anexample of an entrepreneurial business?

(A) Variety Store(B) Laundry Mart(C) Fast Food OutletCD) Soft drink Manufacturer

A business plan can be defined as a documentwhich

(A)(8)

(C)

(D)

specifies the business detailsidentifies the level of profitability of

thebusiness.specifies how long the business has

been in operationidentifies the characteristics of the

business

Which of the following is NOT an exampleof assistance given to small firms?

{A) Social(B) Financial(C) Technical(0) Educational

(A)(8)(C)(D)

Which one of rhe following methods tall be.used by Mary, a small business owner, toimprove her relationship withemployees?

Have family daysImproveprofitabilityReduce overtime hoursReducing cost of production

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38.

39.

40.

An artiste who runs his own small business.selling his paintings on Caribbean landscapes.is best advised to seek which legal protection')

(A)(B){C)(D)

PatentCopyrightTrademarkInsurance

Hems 39 - 41 are based on the followingcase.

An effective way to approach a new smallbusiness venture is to create a unique product01' service. Another approach is to adaptsomething that is currently on the market orextend the .offering into an area where it isnot currently available.

When an entrepreneur identifies a businessopportunity in an area that is not being filledby competitors, it is best. refered to as

(A) outsourcing(B) market analysis(C) niche marketing(D) product deve lopment

When an entrepreneur sets up a restaurant,clothing store or similar outletsin areas thathave an abundance of these stores. Theentrepreneur is identifying businessopportunities via

(A) new-old approach(B) 0J d product approach(C) new product approach(D) niche marketing approach

41. To determine whether sufficient demand exi-:in a new market, an entrepreneur shou.;engage in

(A) salesprom orion(8) market research(C) costing evaluation(D) forecasting of sales

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-7-Iterns 42 - 44 refer to the following scenario.

Mr. Ram has recently completed a short course in chinese cooking. Enthusiastic about his newlyacquired skill, he decides to open a small chinese restaurant. However, Mr Ram has no prior experiencein running a business and has very nttlefinances available.

42. Which of the following Characteristics of anentrepreneur is MOST evident in the abovescanario?

44. Mr Ram would need to develop a projectedfunds flow statement in order to identify

(A)(B)(C)(D)

High energy levelTolerance for arnbigultyInternal locus of control.Awareness of passing time

(A)(D}(C)

profitability of the businesslevels of working capital neededamount of raw materials to be

purchased.Whether the business is a viable

optionCD)

43.. Whichof'the following documents wouldMrRam most likely need-to present to acommercial 'bank when seeking finance?

(A) Business Plan(B) Organisatioaal Chart(C) ,Artioles of Association(D) Memorandum of'Asseeiatio»

Item 45 relates to the following information

(li)leasing arrangement>"

(iii)business training andadvice

(i)loan guaranteeprogram

Governmental agenciesthat assist small business

(iv)____ marketing support

45. A lack of collateral has been identified as themajor constraint of a small business obtainingfinance'. Whichofthe following is a possiblesolution?

(A) (i)(B) (it)(C) (iii)CD) (iv)

IT'r oi fI:.;ISHBEFORETIMEISCALLED,CHECKYOURWORKONTffiSTEST.

_, - - - ,I,