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Mark scheme

Marking points from the official mark scheme (Oct/Nov 2016). The mark or mark type is shown in brackets.

1. [2] (a) Knowledge [2 × 1] - award one mark for each advantage/disadvantage
2. [2] (a) Analysis [2 × 1] - award one mark for a relevant explanation for each advantage/disadvantage
3. [4] (a) Application [2 × 2] – award two application marks for each advantage/disadvantage
4. [1] (a) Award one mark for each relevant advantage/disadvantage (maximum of two), such as: Advantage: More capital than sole trader
5. [1] (a) Award one mark for each relevant advantage/disadvantage (maximum of two), such as: Advantage: Share decision making
6. [1] (a) Award one mark for each relevant advantage/diseadvantage (maximum of two), such as: Advantage: Someone to share running the business/cover when holidays
7. [1] (a) Award one mark for each relevant advantage/diseadvantage (maximum of two), such as: Advantage: More ideas/specialisation
8. [1] (a) Award one mark for each relevant advantage/diseadvantage (maximum of two), such as: Disadvantage: Unlimited liability
9. [1] (a) Award one mark for each relevant advantage/diseadvantage (maximum of two), such as: Disadvantage: No continuity
10. [1] (a) Award one mark for each relevant advantage/diseadvantage (maximum of two), such as: Disadvantage: Share profits
11. [1] (a) Award one mark for each relevant advantage/diseadvantage (maximum of two), such as: Disadvantage: Conflicts between partners
12. [3] (a) Award a maximum of three additional marks for each explanation of the advantage/disadvantage – 2 of which must be applied to this context.
13. [10] (b) Knowledge/Analysis/Evaluation – award up to 10 marks using the levels-based mark scheme below. Level 3: At least 2 x Level 2 + 9-10 marks for well justified conclusion of which change will have the biggest effect on profit rather than the other changes. 7-8 marks for some limited judgement shown in the conclusion of which change will have the biggest effect on profit.
14. [6] (b) Knowledge/Analysis/Evaluation – award up to 10 marks using the levels-based mark scheme below. Level 2: 4-6 marks Detailed discussion of the effects of each change.
15. [3] (b) Knowledge/Analysis/Evaluation – award up to 10 marks using the levels-based mark scheme below. Level 1: 1-3 marks Outline of the effects of each change.
16. [2] (b) Award up to 2 additional marks for relevant application.
17. [1] (b) Relevant point: Increasing employment in country X: higher incomes leads to increased demand for services
18. [1] (b) Relevant point: Increasing employment in country X: harder to find new employees
19. [1] (b) Relevant point: Increasing employment in country X: increased wage rates to attract/retain employees
20. [1] (b) Relevant point: Increase in tax on all services in country X: increased price leads to falling demand
21. [1] (b) Relevant point: Increase in tax on all services in country X: increased spending on other more essential services – decreased demand for house cleaning/gardening
22. [1] (b) Relevant point: Increase in tax on all services in country X: all services taxed so little/no effect on GJ
23. [1] (b) Relevant point: Increase in the number of people buying large houses with gardens in country X: increased demand as more people require cleaning and gardening services
24. [1] (b) Relevant point: Increase in the number of people buying large houses with gardens in country X: increased incomes meaning larger houses can be purchased - increased demand for cleaning/gardening
25. [1] (b) Relevant point: Increase in the number of people buying large houses with gardens in country X: increased competition
26. [1] (b) Relevant point: Increase in the number of people buying large houses with gardens in country X: increased prices as increased demand – increased profit