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Cambridge Past Paper Questions

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O-LevelCommerceFinanceOct/Nov 2016

A simplified trading, profit and loss account comparing two years is shown below. What caused net profit to decrease between Year 1 and Year 2?

O-LevelCommerceFinanceOct/Nov 2016

Which item is a current asset for a manufacturing company?

O-LevelCommerceProductionOct/Nov 2016

A chair is sold for $200. The cost of the materials was $50. The cost of services used was $35. Manufacturing wages amounted to $100. What is t...

O-LevelCommerceProductionOct/Nov 2016

The diagram shows a number of ways in which specialisation occurs. [Figure 3.1] What is X?

O-LevelCommerceRetail tradeOct/Nov 2016

The diagram shows a barcode. [Figure 5.1] How do the barcode numbers help a retailer?

O-LevelCommerceRetail tradeOct/Nov 2016

Why is a chain store better able to survive than an independent retailer?

O-LevelCommerceCreditOct/Nov 2016

When making hire purchase transactions, which of the following is used?

O-LevelCommerceCreditOct/Nov 2016

A method of credit in which a shopkeeper keeps goods ordered for collection at the end of the week is known as

O-LevelCommerceCreditOct/Nov 2016

Suleiman has received his credit card statement which contains the following information. [Figure 10.1] What is the best way for Suleiman to avoi...

O-LevelCommerceConsumer protectionOct/Nov 2016

Consumer Protection legislation does not cover

O-LevelCommerceWholesale tradeOct/Nov 2016

This sign is outside Karachi Wholesalers Ltd. [Figure 13.1] What job would you expect this business to do for its customers?

O-LevelCommerceWholesale tradeOct/Nov 2016

Which circumstance requires the use of a credit note?

O-LevelCommerceGlobal tradeOct/Nov 2016

Country X achieved a surplus in its Balance of Payments due to its earnings from invisible trade. Which item would have featured in this trade?

O-LevelCommerceGlobal tradeOct/Nov 2016

A freeport is an area where

O-LevelCommerceGlobal tradeOct/Nov 2016

Why is trading overseas often more difficult than trading in the home market?

O-LevelCommerceGlobal tradeOct/Nov 2016

The diagram shows trade between four countries. [Figure 19.1] Which two countries are in a free trade area?

O-LevelCommerceAdvertisingOct/Nov 2016

The picture shows an advertisement for a luxury car. [Figure 21.1] Which method of appeal is used in the advertisement?

O-LevelCommerceCommunicationsOct/Nov 2016

Which telecommunications service can an organisation use to make verbal contact with its employees in different parts of its premises?

O-LevelCommerceCommunicationsOct/Nov 2016

Lopez wishes to send a letter to a friend who is travelling to various countries in Asia. The friend does not have a fixed address, so Lopez sends ...

O-LevelCommerceTransportOct/Nov 2016

The Bill of Lading is an export document used when goods are transported by

O-LevelCommerceWarehousingOct/Nov 2016

Which statement is true of bonded warehouses?

O-LevelCommerceInsuranceOct/Nov 2016

Following a fire, an insurance company pays for damage to premises, for loss of contents and for consequential loss. An example of consequential l...

O-LevelCommerceInsuranceOct/Nov 2016

In which circumstance is insurable interest present?

O-LevelCommerceInsuranceOct/Nov 2016

The Managing Directors of four companies have made the following statements. Which statement refers to an uninsurable risk?

O-LevelCommerceBankingOct/Nov 2016

Which statement about Automatic Teller Machines (ATM) is correct?

O-LevelCommerceBankingOct/Nov 2016

The diagram shows a cheque. [Figure 33.1] What does the crossing mean?

O-LevelCommerceBusiness enterpriseOct/Nov 2016

Certain industries concentrate their activities in particular areas. What is the commercial term for this?

O-LevelCommerceBusiness enterpriseOct/Nov 2016

How are losses in partnerships paid if there is no partnership agreement?

O-LevelCommerceBusiness enterpriseOct/Nov 2016

What is a feature of a private limited company?

O-LevelCommerceFinanceOct/Nov 2016

How is the working capital of a business calculated?

O-LevelCommerceFinanceOct/Nov 2016

A simplified trading, profit and loss account comparing two years is shown below. [Figure 39.1] What caused net profit to decrease between Year 1...

O-LevelCommerceFinanceOct/Nov 2016

What is part of a farmer's fixed assets?

O-LevelCommerceProductionOct/Nov 2016

Joshua owns a small fishing boat and earns money by catching fish. He sells the fish at the local street market and also to his friend, Abel, who o...

O-LevelCommerceBankingOct/Nov 2016

Miss Patel has received a bank statement for September 2016, as shown in Fig. 1. [Figure 1.0] Use Fig. 1 to help you answer the following questions.

O-LevelCommerceBusiness enterpriseOct/Nov 2016

Desiree is a sole trader who owns a flower shop. She buys the flowers from a wholesaler and designs and arranges them for special occasions, such a...

O-LevelCommerceInsuranceOct/Nov 2016

Veenu owns a small printing business. She employs two workers who operate the printing machines. The business prints commercial documents such as i...

O-LevelCommerceRetail tradeOct/Nov 2016

AAA is a large chain of department stores. It has branches in cities all over the country.

O-LevelCommerceAdvertisingOct/Nov 2016

An and Bo have a business decorating and furnishing homes and offices. They understand the importance of good communication with suppliers and cust...

O-LevelCommerceGlobal tradeOct/Nov 2016

BBB is a manufacturer of kitchen tools. It sells online and to speciality stores in the home market.

O-LevelCommerceWarehousingOct/Nov 2016

CCC provides warehousing for other businesses. It has a number of warehouses in different parts of the country. These include bonded warehouses clo...

O-LevelCommerceProductionOct/Nov 2016

Fig. 1 shows a chain of production for oil in a country. DRILLING FOR OIL ↓ REFINING OIL ↓ TRANSPORTING PETROL ↓ PETROL STATION Fig. 1 Use Fig. ...

O-LevelCommerceWholesale tradeOct/Nov 2016

AAA is a traditional wholesaler. It sells goods to retailers and directly to the public. AAA offers trade credit to retailers. (b) Fig. 2 shows an...

O-LevelCommerceRetail tradeOct/Nov 2016

A large shopping centre will have many different types of retailers.

O-LevelCommerceBusiness enterpriseOct/Nov 2016

BBB Fashions is a public limited company. It is a manufacturer of fashion clothing for women. It sells its products in both the home market and the...

O-LevelCommerceInsuranceOct/Nov 2016

CCC Insurance provides insurance services. It insures 500 businesses against the risk of flooding. Fig. 3 shows the pooling of risk for flood insur...

O-LevelCommerceGlobal tradeOct/Nov 2016

DDD Enterprises exports leather goods to customers in other countries.

O-LevelCommerceBusiness enterpriseOct/Nov 2016

Nasreen has owned a hairdressing salon for the last five years. She knows that hairdressing is a very competitive market and she is always worried ...

O-LevelCommerceBusiness enterpriseOct/Nov 2016

EEE Minerals Ltd is a multinational mining business with coal mines in many countries. Some parts of the mining industry are in the public sector a...

O-LevelCommerceProductionOct/Nov 2017

In the manufacturing of a pair of jeans, how is value added to the cloth?

O-LevelCommerceProductionOct/Nov 2017

Many factories use division of labour in the production process. Which feature of division of labour might be an advantage to a factory worker?

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