BUS.S-Sept-QP & Memo-2015-Gr11_hlayiso.com_.pdf

Downloaded from hlayiso.com KZN — DEPT. OF EDUCATION GREENBURY SECONDARY SCHOOL THIRD CONTROL TEST - 2015 BUSINESS STUDIES ~ GRADE 11 EXAMINER : RNAIDOO MARKS : 100 MODERATOR : R GOVENDER DURATION : ihr INSTRUCTIONS AND INFORMATION 1. This paper consists of _4 printed pages. 2. There are 3 sections : SECTION A : Compulsory SECTION B : Consists of 3 questions. CHOOSE ANY TWO QUESTIONS. SECTION C : ESSAY question. Consists of 2 questions. CHOOSE ANY ONE QUESTION. ( 3 . Use the SPECIAL ANSWER SHEET for Section A. SECTION A QUESTION ONE : (20 marks) 1.1. MULTIPLE CHOICE CHOOSE THE CORRECT ANSWER FROM THE OPTIONS GIVEN. WRITE DOWN THE CORRECT LETTER ONLY. 1.1.1 A community-based organisation : A) is also known as a parastal B) is solely responsible for job-creation in the community in the field of education C) is owned and controlled by the people who live in a defined region D) has no profit objective. ( J11.2. The following activity is not part of the production planning and control process: | A) Routing | B) Scheduling | C) Loading D) Benchmarking 1.1.3. The practice of charging a very high price when a new, innovative product is introduced to the market is known as : A) skimming B) odld pricing C) bait pricing D) unethical pricing P.T.O/1.1.4 wee Page 1 of 4

Downloaded from hlayiso.com 1.1.4 Sales promotion takes place when : A) the business receives favourable publicity B). prices of goods are increased C) products are produced in big volumes D) free product samples are given to customers 1.1.5 An example of a fixed cost is : A) direct wages B) indirect wages C) factory rent : D) depreciation on equipment (5x2) = 10 1.2 USE THE WORDS IN THE TEXTBOX TO E ILL.IN THE MISSING WORDS UNIT COST SEASONAL CORPORATE SOCIAL RESPONSIBILITY MASS SCHEDULING BATCH JOBBING LOADING ( _Is calculated by dividing the total cost by the number of units manufactured. ~_ focuses on a specific job which is completed according to the customer’s specification. 1.2.3 A price deduction given to customers who buy products or services out of season is known asa discount. : 1.2.4. When businesses support and uplift local communities it is referred to as ___ . 1.2.5 The volume or quantity of work allocated to an employee or to a machine is referred to as ae NBR Ne (5x2) = 10 SECTION B CHOOSE ANY TWO QUESTIONS FROM THIS SECTION QUESTION TWO : VENTURES (20 marks) 2.1 List FIVE(5) benefits of Corporate Social Investment for companies | (10) 2.2 “According to the Small Enterprise Development Agency (Seda), an entrepreneur is a person who takes an idea and an opportunity and turns them into.a profitable business.” 2.2.1 List and discuss any FIVE(5). Key Success Factors that will give a business a competitive edge. (10) P,T.O/ QUESTION THREE ...... Page 2 of 4 \

Downloaded from hlayiso.com QUESTION THREE : OPERATIONS (20 marks) The following shows the costs involved in manufacturing motorbikes for the month of August Rent of the factory Ri 500 pm Salaries(per worker)(3 workers employed) R3 000 pm Raw materials R150 per motorbike _| Insurance R275 pm Water and Electricity R2.000 pm Telephone R350 pm v The factory produces 50 motorbikes per month. ¥ The selling price is R1 000 per bike. 4.4 List any TWO(2) elements of PROMOTION 3.1 Why is production costs important to a manufacturer? (2) 3.2 List the FIXED COSTS (3) 3.3 List the VARIABLE COSTS (3) 3.4 How many units must be sold in order for the business to break-even? (5) 3.5 Calculate the total sales for the month (3) 3.6 Calculate the profit this business will make for the month of August (4) QUESTION FOUR : MISCELLANEOUS (20 marks) 4.1. Study the following symbols and answer the questions that follow 4.1.1 The above symbol and names are classified as (2) 4.1.2 Tabulate the difference between PRIVATE LABEL BRANDS and MANUFACTURER BRANDS (4) 4.2 List and explain the FOUR(4) types of PACKAGING (8) _ 4.3 What does the abbreviation AIDA stand for? (4) (2) P.T.O/SECTION C...... Page 3 of 4

Downloaded from hlayiso.com SECTION C: ESSAY | CHOOSE ANY ONE QUESTION FROM THIS SECTION QUESTION FIVE : (40 marks) “When we think of production , we think of factories, machines and assembly lines. A production system is the process that is followed to manufacture products.” In a well structured essay discuss : e Definition of : v¥ Mass Production ¥ Batch Production ¥ Jobbing ; e Advantages and Disadvantages of Mass Production e Advantages and Disadvantages of Batch Production and Jobbing QUESTION SIX : (40 marks) “With an increased number of products available in the market and with an ever changing economy, businesses must find ways of improving their sales.”” In a essay, discuss : Importance of PRICING PRICING Techniques STEPS involved in the PRICE DETERMINATION PROCESS Factors that influence the PRICING POLICY ef a Business eeee TOTAL = 100 GOOD LUCKININ GREENBURY SECONDARY SCHOOL Page 4 of 4 & DEPARTMENT OF COMMERCE

GREENBURY SECONDARY SCHOOL THIRD CONTROL TEST - 2015 SPECIAL ANSWER SHEET HO. . MRIS C MAHARAJ BUSINESS STUDIES - GRADE 11 100 NAME/SURNAME_: MEMO GR./DIV : FOR THE EDUCATOR'S USE ONLY QUESTION | (J) QUESTION | MARK | LEARNER'S CHOSEN MARK ONE 20 TWO 20 THREE 20 FOUR 20 FIVE 40 SIX 40 SECTION A QUESTION ONE = 1.1 LLic Ww 11.2D dy 113A Af 114D W 1.1.5¢ W/ 1.2 1.2.1Unit cost Ww 1.2.2Tobbing VW 1.2.3Seasonal vi 1.2.4Corporate social responsibility 4/ 1.2.5Loading Wid 20 20 GREENBURY $ SECONDARY SCHOOL : ENT OF COMMERCE

SECTION B QUESTION TWO 2.1 Benefits of CSI for companies ¢ Upliftment programmes can alleviate poverty w/ Establishment of a social network in communities which increases integration ¢ Gaining of the trust of investors MA ¢ Increasing of the appeal as an employer MW ie e 2.2 2.2.1 Key Success Factors Promotion of the communities in which they are active M/ SUSTAINABILTTD”. Means ensuring that the income increases, / customerbase expands and quality improves. PROFITABILITY - When expenses have been subtracted from the sales and a surplus results, customers, CUSTOMER BASE - There must be many opportunities,to attract more BUSINESS SKILLS - Skills ensure great success and allows management to make the right decisions. A operate, CSI - Assisting and supporting the communities within ynich they 10 © € i

QUESTION THREE 3.1 Understanding these costs and the relationship between themn will determine the accuracy with which management is able to predict estimated profits. Af B 3.2 FIXED COSTS * Rent of the factory / e Salaries Vv 3 e Insurance Vv 3.3 VARIABLE COSTS e Raw materials * Water and electricity Vv’ 4 ¢ Telephone Vv . 3.4 Fixed costs = (1500+(3 000x3)+R275) = 10775 Variable costs per unit = (2000+350)/50 = 47 + 150 = 197 BREAK-EVEN = FIXED COSTS J SPu -VCu = 10 775 1000 - 197 ¥ = 10 775 803 y “ = 13.4 units yf 2 dv Rt 000 x 50 3 R50 000 , a 3.5 TOTAL SALES A 50 000 Oy, 625 (1500+9 000+7500+275+2000+350) R29 375, // & 3.6 PROFIT Total = 20

QUESTION FOUR 41 4.11 Trademarks M/S a 4.1.2 PRIVATE LABEL BRANDS MANUFACTURING BRANDS Are produced and solely owned by the | Manufacturer brands are controlled retailer. My and produced by manufactures and sold through different retailers. V/ -= 4.2Types of Packaging v « SPECIALITY - The product is given an image of “must have", ¢ RE-USABLE - The container can be used for something else once the O) content is finished. Jv « KALEIDOSCOPE - Where the container or wrapper are continuously changing. vA e¢ MULTIPLE - Various products are packaged in one container. / £ 4.3 AIDA © A - Attract ° I- Interest ,/ * D- Desire 4% uy * A-= Action % —— 4.4 Elements of Promotion C: ¢ Sales promotion e Advertising © Publicity ¢ Personal selling ANY ioe

SECTION ¢C QUESTION FIVE INTRODUCTION ¢ There are uninterrupted and interrupted production processes. ¢ With uninterrupted production, products flow continuously from start to finish ¢ Interrupted production occurs when orders with different specifications are placed. a 3 we BODY 1. MASS PRODUCTION « Products must have the same design and go through the same manufacturing process continuously. 2. BATCH PRODUCTION « Products are produced in batches or group. The production of one design is completed before going on to produce another batch of a different design. tA 3. JOBBING « Each product is made to a customer's requirements or to an individual order, 4. ADVANTAGES AND DISADVANTAGES OF MASS PRODUCTION i) ADVANTAGES DISADVANTAGES ¢ Products are manufactured at a « Ifatmachine breaks down, the lower cost per unit MA entire production is delayed fa ¢ Division of labour possible wy ¢ The speed at which products are ¢ Handling of materials are manufactured is fixed wr restricted / ¢ A large amount of capital is | ¢ Production control process is invested ves simple ¢ If design changes, modifications | can be very expensive |

5. ADVANTAGES AND DISADVANTAGES OF BATCH PRODUCTION AND JOBBING ADVANTAGES DISADVANTAGES Delays due to breakdowns can be overcome quickly KY Greater flexibility V/ Machinery are less expensive Changes in quantities can be easily catered for W/ Costs per unit are higher 47 A large reserve of semi-finished goods must be kept v/ Products take longer to prodice v Large amount of capital is (7 required CONCLUSION : One of the biggest challenges for any business is to use the least possible raw materials at the lowest possible cost to produce the largest quantity of quality goods, Choosing the correct production system is of vital importance. v// FACTS (wax) 32 |(as) LAYOUT 2 ANALYSIS 2 SYNTHESIS 2 ORIGINALITY 2 TOTAL 40 ( )

QUESTION SIX INTRODUCTION « Price is the only marketing tool that brings in revenue for the business. ¢ Consumers will pay money for a product if they think it will satisfy a need or want. Uy 3. “ BODY 1, IMPORTANCE OF PRICING « Every manufacturer, wholesaler and retailer is concerned with prices. y” ¢ Price is the determining factor to close a deal. 4 ¢ Price can be very important to the consumer and business must monitor consumer responses to price and price changes. va 2. PRICING TECHNIQUES « Psychological pricing’ - Used to give the impression that an item is cheaperthan it really is. ° Odd pricing” Occurs when final product prices include odd numbers to create the perception that the product is cheaper. “ ¢ Bait pricing - Products are advertised at prices that are usually lower than the items cost price, Customers buy these and other wv items. * Skimming prices - Prices attached to a new innovative product that is considered unique and prestigious. High prices are charged. 3. PRICE DETERMINATION e« STEP ONE - Determine the cost price 4 ¢ STEP TWO - Determine the market price 4” « STEP THREE - Determine the target price « STEP FOUR - Determine final price Y

4, FACTORS INFLUENCING PRICING POLICY Competitors prices - The price that competitors charge is a determining factor that influences the setting of a price, Ky « Changes in consumer tastes and habits’ - The buying behaviour of consumers varies according to the type of product that is bought. K/ e Changes in consumer income - Products that fall outside the price range that consumers are prepared to pay or not be able to afford wil re bought. “ ¢ Changes in production costs and time - Costs and expenses comprise one of the most important factors influencing the price of a product ¢ ¢ Supply and Demand - Can influence prices especially in the primary . sector. “74 CONCLUSION : « After the final price has been determined by the organisation, strong customer and competitor responses to the price of a product cotildslead to price adjustments. wy FACTS 32 (es) LAYOUT 2 ANALYSIS 2 SYNTHESIS 2 ORIGINALITY 2 TOTAL 40 ( )