Learn Extracted exam questions IGCSE Business Studies 0450 Business Studies June 2025 Question Paper 21
0450 Business Studies June 2025 Question Paper 21
Source PDF on the left, extracted YAML on the right. Compare numbering, marks, options and text.
1 (a) Explain two advantages and two disadvantages to Philip of changing PF from a sole trader business to a private limited company. Advantage 1: Advantage 2: Disadvantage 1: Disadvantage 2: [8] , ,
(b) Consider each of the following three methods PF could use to motivate its employees. Which method should PF use? Justify your answer. • Paying bonuses • Piece‑rate • Job rotation Paying bonuses: Piece‑rate: Job rotation: Recommendation: [12] , ,
2 (a) Explain one advantage and one disadvantage of PF selling its products in a mass market. Advantage: Explanation: Disadvantage: Explanation: [8] , ,
(b) Consider the following three factors that may influence the location of PF’s new factory. Which factor is likely to be the most important when deciding on the location? Justify your answer. • Availability of raw materials • Transport links • Government influence Availability of raw materials: Transport links: Government influence: Conclusion: [12] , ,
3 (a) Explain two advantages and two disadvantages to a business of using a bank loan as a source of finance. Advantage 1: Advantage 2: Disadvantage 1: Disadvantage 2: [8] , ,
(b) Consider the advantages and disadvantages of the following three methods of promotion PF could use for its new product range. Which is likely to be the best method for PF to use to increase sales? Justify your answer. • Leaflets handed out in the street • Billboards on the side of a main road • Discounts on first purchase Leaflets handed out in the street: Billboards on the side of a main road: Discounts on first purchase: Conclusion: [12] , ,
4 (a) Explain one effect on PF of the increase in each of the two taxes outlined in Appendix 2. Tax on people’s income: Explanation: Tax on profit made by businesses: Explanation: [8] , ,
(b) Using Appendix 3 and other information, consider PF’s financial position in 2025 and forecast financial position in 2026. Do you think Philip’s sister should invest in PF? Justify your answer using suitable calculations. 2025: 2026 (forecast): Recommendation: [12] , ,