Abet Level 4 Summative Assessment

Abet Level 4 Summative Assessment

EMSC4 3 SBA-Task: Test 2017

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EMSC4 -3- SBA-Task: Test 2017

INSTRUCTIONS AND INFORMATION

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1. / Answer ALL the questions.
2. / Read ALL the questions carefully.
3. / Number the answers according to the numbering system used in this assessment task.
4. / Write neatly and legibly.

SECTION A

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QUESTION 1

1.1 / Various options are given as possible answers to the following questions. Choose the answer and write only the letter (A–D) next to the question number (1.1.1–1.1.5) in the ANSWER BOOK.
1.1.1 / The management style where employees will do what they are told to do without asking questions.
A
B
C
D / Laissez Faire
Democratic
Autocratic
Middle management
1.1.2 / Formal business with up to 50 members/owners.
A
B
C
D / Private company
Public company
Sole trader
Close Corporation
1.1.3 / ONE of the following equipment is used in an administrative office for business.
A
B
C
D / Salaries
Co-ordination
Production
Computer
1.1.4 / Management where managers are responsible for the organisation as a whole is known as … management.
A
B
C
D / middle
top
lower
laissez faire
1.1.5 / … is to work out what the future of the business should be.
A
B
C
D / Organisation
Controlling
Planning
Leading
(5 × 1) / (5)
1.2 / Indicate whether the following statements are TRUE or FALSE. Choose the answer and write only 'true' or 'false' next to the question number (1.2.1–1.2.5) in the ANSWER BOOK.
1.2.1 / A service is something that someone does for a client.
1.2.2 / Retail shops sell the goods to the public.
1.2.3 / Private company is a business owned by 1–10 members.
1.2.4 / The co-operation between partners should be based on a formal contract.
1.2.5 / Administration means to complete and store all information that has to do with production.
(5 × 1) / (5)
1.3 / Complete the following sentences by filling in the missing word(s). Write only the word(s) next to the question number (1.3.1–1.3.5) in the ANSWER BOOK.
1.3.1 / Money invested into a business by the owner is called …
1.3.2 / The business owner needs … to start a business or to buy a stock.
1.3.3 / If you want to start a business you have to be ready to take a …
1.3.4 / The business owned by one person is known as …
1.3.5 / … is a document needed to start a Close Corporation.
(5 × 1) / (5)

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EMSC4 -4- SBA-Task: Test 2017

1.4 / Choose an item from COLUMN B that matches a description in COLUMN A. Write only the letter (A–F) next to the question number (1.4.1–1.4.5) in the ANSWER BOOK.
COLUMN A / COLUMN B
1.4.1
1.4.2
1.4.3
1.4.4
1.4.5 / One of the key procedures to be considered when starting a business
When one product is sold/produced by more than one business
When assets are less than liabilities
Set of rules used to guide the actions of the manager
The activities which take place in a business where they all work together towards the achievement of goals of the business / A
B
C
D
E
F / competition
insolvency
registration of a business
co-ordination
policy
control

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EMSC4 -5- SBA-Task: Test 2017

(5 × 1) / (5)
[20]

TOTAL SECTION A:

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20

SECTION B

QUESTION 2

Read the case study below and answer the questions.
Mr Chaka has just resigned and received his pension packages. He is considering starting his own business but he is confused whether he should stick to his idea or take over an existing business.
2.1 / Give any TWO forms of ownership that Mr Chaka can consider to choose from when opening his business. / (2)
2.2 / Provide ONE advantage of each form of ownership in QUESTION 2.1. / (4)
2.3 / 2.3.1 / Which business option would you advise Mr Chaka to take, based on the above-mentioned case study? / (1)
2.3.2 / Give FOUR factors to consider about the business option you advised Mr Chaka to take in QUESTION 2.3.1. / (8)
[15]

QUESTION 3

3.1 / Give the FOUR Ps of the marketing mix. / (4)
3.2 / List THREE administrative capabilities and give ONE example of each. / (6)
3.3 / Name FIVE ways in which a business can gather information to determine customer satisfaction. / (5)
[15]

TOTAL SECTION B:

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30

GRAND TOTAL: / 50

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