Economic and Management Sciences Grade 6 2010 QP (Eng)

Province of the EASTERN CAPE Level Code EDUCATION INTERMEDIATE PHASE GRADE 6 JUNE 2010 ECONOMIC AND MANAGEMENT SCIENCES NAME OF LEARNER: ………………………………………………………….. MARKS: 50 TIME: 1 hour This question paper consists of 12 pages.

2 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) INSTRUCTIONS 1. This question paper consists of SIX questions. All the questions have to be answered. 2. Read the instructions for each question carefully and answer only what is required. 3. Questions must be answered on this question paper. 4. Use the mark allocation to determine the length of the answer.

(JUNE 2010) ECONOMIC AND MANAGEMENT SCIENCES 3 QUESTION 1 (LO 1: AS 4) ; (LO 4: AS 4; 5) 1.1 MULTIPLE-CHOICE. Three answers are provided for each question. Make a cross (X) in the block for your answer. 1.1.1 Money collected from people and businesses by the government is … (a) tax. (b) interest. (c) profit. 1.1.2 One of the following is not a factor of production: (a) Factor market (b) Raw material (c) Labour 1.1.3 Which statement below is not true regarding the role of government? (a) Government provide jobs (b) Government supply labour (c) Collect taxes 1.1.4 One of the following is not the role of the Business: (a) Enforce the law to keep the economy running smoothly (b) To produce goods and services for consumers (c) To provide jobs 1.1.5 Remuneration for labour is … (a) interest. (b) rent. (c) wages. (5 x 1) (5) [10]

4 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) 1.2 Choose the term in COLUMN B that matches a description in COLUMN A. Use the table provided for your answers. Do not rewrite the description in COLUMN A write only the correct terms in COLUMN B. COLUMN A COLUMN B 1.2.1 James purchased a packet of Simba chips at A. Income Tax Joe’s Spaza Shop and paid. 1.2.2 After the Budget Speech Michel pays R1,25 B. Import Tax more for cigarettes because of ... tax included in the cigarettes. 1.2.3 Julie pays R400 … tax on her salary at the end C. Corporate of each month Tax 1.2.4 SA MTN purchased 100 new cellphones from D. Sin Tax Japan and paid … tax. 1.2.5 Twalo owns a company and pays ... tax on the E. VAT company’s profits. ANSWERS 1.2.1 1.2.2 1.2.3 1.2.4 1.2.5 (5 x 1) (5) [10]

(JUNE 2010) ECONOMIC AND MANAGEMENT SCIENCES 5 QUESTION 2 (LO 1: AS 1) Look at the following diagram of the Economic cycle/Circular flow. Write the correct role player next to (a) and also fill in the circular flow description. (b); (c); (d) and (e). Households (b) (c) (e) (d) (a) (a) (1) (b) (1) (c) (1) (d) (1) (e) (1) [5]

6 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) QUESTION 3 (LO 4: AS 5) Read through the following case study and answer the questions that follow: Goody’s Goody’s is a fast food business in a busy shopping centre. It is open from 7:30 in the morning until 5:15 in the evening. There is a big menu outside with a list of tempting foods and nice smells wafting out of the door. Many people work in the shops and offices in the centre. Hundreds of shoppers walk past Goody’s every day. Mary, the manager of Goody’s, makes many different foods, ranging from toasted sandwiches and pies to cooked meals such as bobotie and beef stew. Prices are reasonable and there is something to suit everyone’s income. Mary also sells frozen family meals which she finds are very popular with working mothers who buy them on their way home after work. Goody’s also makes platters for office parties. The platters are large dishes with a selection of finger foods such as roast chicken wings, sausage rolls, meat balls, fish fingers, savoury tartlets, baby tomatoes, carrot sticks and other raw vegetables. “I make platters where people can eat everything,” says Mary. “Also, our platters are cheaper than our competitors’ platters. News of our platters has spread quickly among the offices in this area. When the business first opened, they put fliers under windscreen wipers in the car park of the shopping centre and the offices nearby, but now they find they do not need to advertise. Mary says that the owners of the shopping centre have plans to renovate it. They will close off certain parts of the shopping centre while they do this. The owners will give business temporary places during this time. “I hope they give us a position where all our customers can find us easily,” says Mary.

(JUNE 2010) ECONOMIC AND MANAGEMENT SCIENCES 7 1. Give the elements of the marketing mix and next to each write down the words that match them from the case study: (6) 2. (a) Which element of the marketing mix would be affected if the owners of the shopping centre moved Goody’s temporarily? (1) (b) How do you think the temporary movement would affect Goody’s? (1) (c) What changes could Mary make to the marketing mix to avoid any bad effects that might result from the move? (1) 3. Suppose Mary increased the price of all her goods by 20%.

8 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) (a) Which element of the marketing mix would be affected? (1) [10]

(JUNE 2010) ECONOMIC AND MANAGEMENT SCIENCES 9 QUESTION 4 (LO 4: AS 2) Object 2 You are presented with a bar graph showing Business Opportunities on the X-axis (horizontally) and the money that you can make per week in rands on the Y-axis (Vertically) Study the graph carefully so that you can answer the following questions. (a) Which is the best business opportunity and what is the total amount that you can make per week? (2) (b) Which is the worst business opportunity and what is the total amount that you can make per week? (2) (c) Give a reason why you think washing cars is the best business opportunity as compared to others. (1) [5]

10 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) QUESTION 5 (a) (LO 4: AS4) Catherina plans to sell sweets at school during school break times. She plans to sell a packet of sweets which she bought at R1,50 each and make a profit of R0,50 for each packet. You are required to help Catherina to develop a Marketing Plan which is also a part of the Business Plan. 1. Who is the target-market of Catherina? (2) 2. How can she advertise her product at the school? (1) 3. (a) Calculate her selling price. (2) (b) Calculate her profit if she sells 20 packet of sweets per day. (3) [8]

(JUNE 2010) ECONOMIC AND MANAGEMENT SCIENCES 11 QUESTION 5 (b) (L04 AS4) Catherina decided to expand her business by selling cakes at R20 each, from (8) home, after school and during weekends. She does not want to miss out on potential customers and is also willing to take orders and do door to door delivery. Her home address is 23 Wespark Avenue King William’s Town and her home telephone number is 043 607 3319. Her cell number is 084 939 2392 in case the clients want to phone her and place orders. Design an advert for her business. (Having in mind the good qualities of an advert). [16]

12 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) RUBRIC FOR QUESTION 5 (b) Criteria 1 2 3 4 Design and Poor design Design not very Good use of colour and Design Neatness and lack of original (some colour originality in design (Colourful, very colour and creativity) creative and (creativity) original) Satisfactory level of Neat and tidy Untidy neatness Neat and tidy Information Lack of Some of the Most information given All the relevant relevant information is not included relevant required information relevant information included

(JUNE 2010) ECONOMIC AND MANAGEMENT SCIENCES 13 QUESTION 6 (a) (LO 1: AS2) Read the following passage. South Africa will be staging the 2010 FIFA Soccer World Cup. Our country needs to be ready for this event. The government should ensure that all major roads and stadiums are in good condition. The businesses e.g. hotels need also to ensure that there is enough accommodation for all tourists that will come to the country. Raw materials are bought to make goods that will be sold during the world cup. In doing this they plan to get more profits. Citizens also are busy with plans to get more money during this period. They offered to rent out their houses for accommodation to tourists; some will use their houses as Bed and Breakfast facilities. The economy will benefit a lot during this period. Many people will get part time jobs during this period. There will be a lot of informal businesses running e.g. people selling goods and services to the tourists. List ONE responsibility and ONE right of each of the participants on the table provided. (4 x 1) (4) Role/Responsibilities of Role/Responsibilities of Government Businesses Rights of Government Rights of Businesses

14 ECONOMIC AND MANAGEMENT SCIENCES (JUNE 2010) [4] TOTAL: 50