Please write clearly in block capitals.
Centre number Candidate number
Surname
Forename(s)
Candidate signature
I declare this is my own work.
A-level
BUSINESS
Paper 2 Business 2
Tuesday 20 May 2025 Morning Time allowed: 2 hours
Materials For Examiner’s Use
For this paper you must have:
Question Mark
• a calculator.
1.1
Instructions 1.2
• Use black ink or black ball-point pen. 1.3
• Fill in the boxes at the top of this page.
• Answer all questions. 1.4
• You must answer the questions in the spaces provided. Do not write 2.1
outside the box around each page or on blank pages. 2.2
• If you need extra space for your answer(s), use the lined pages at the end of
2.3
this book. Write the question number against your answer(s).
• Do all rough work in this answer book. Cross through any work you 2.4
do not want to be marked. 3.1
3.2
Information
• The marks for questions are shown in brackets. 3.3
• The maximum mark for this paper is 100. TOTAL
*JUN257132201*
IB/G/Jun25/G4005/E5 7132/2
, 2
Do not write
outside the
Answer all questions in the spaces provided. box
0 1 Read the information below and then answer the questions that follow.
SCF
SCF is a UK-based manufacturer of components that are sold to UK and EU businesses
which use them to produce computers. It has strong relationships with its small number of
customers. However, recent vertical and horizontal mergers involving other firms in the
sector have reduced the number of buyers. As a result, there are fewer opportunities to
win new contracts. Furthermore, many of the biggest computer manufacturers only want
to deal with large suppliers. Some manufacturers will only purchase components made in
the European Union (EU).
SCF’s owners are increasingly concerned about falling sales and profit margins. They
recently appointed a new Chief Executive who set out a vision for ambitious growth. The
growth plans focus on supplying directly to EU manufacturers from a new factory in Spain.
This factory would replace the existing UK site, where efficiency has been falling.
Appendix A Extract from SCF’s cash flow forecast
October 2025 November 2025
(£m) (£m)
Total inflows 3.24 3.35
Total outflows 3.11 3.22
Note: The closing balance for 31 October is £4.30 million.
Appendix B Financial information for SCF, 2022–2024
Year 2022 2023 2024
Inventory turnover (times) 5.9 5.6 5.2
Operating profit (£m) 0.92 0.71 0.63
Non-current assets (£m) 7.3 7.5 8.2
Non-current liabilities (£m) 3.1 2.9 2.8
Capital employed (£m) 9.3 10.0 10.2
*02*
IB/G/Jun25/7132/2
, 3
Do not write
outside the
Appendix C Value of total market and SCF’s sales in different markets, 2020–2028 box
Note: Values for 2026 onwards are forecasts. These do not take into account the plan to
move production to Spain.
Appendices continue on the next page
Turn over ►
*03*
IB/G/Jun25/7132/2
Centre number Candidate number
Surname
Forename(s)
Candidate signature
I declare this is my own work.
A-level
BUSINESS
Paper 2 Business 2
Tuesday 20 May 2025 Morning Time allowed: 2 hours
Materials For Examiner’s Use
For this paper you must have:
Question Mark
• a calculator.
1.1
Instructions 1.2
• Use black ink or black ball-point pen. 1.3
• Fill in the boxes at the top of this page.
• Answer all questions. 1.4
• You must answer the questions in the spaces provided. Do not write 2.1
outside the box around each page or on blank pages. 2.2
• If you need extra space for your answer(s), use the lined pages at the end of
2.3
this book. Write the question number against your answer(s).
• Do all rough work in this answer book. Cross through any work you 2.4
do not want to be marked. 3.1
3.2
Information
• The marks for questions are shown in brackets. 3.3
• The maximum mark for this paper is 100. TOTAL
*JUN257132201*
IB/G/Jun25/G4005/E5 7132/2
, 2
Do not write
outside the
Answer all questions in the spaces provided. box
0 1 Read the information below and then answer the questions that follow.
SCF
SCF is a UK-based manufacturer of components that are sold to UK and EU businesses
which use them to produce computers. It has strong relationships with its small number of
customers. However, recent vertical and horizontal mergers involving other firms in the
sector have reduced the number of buyers. As a result, there are fewer opportunities to
win new contracts. Furthermore, many of the biggest computer manufacturers only want
to deal with large suppliers. Some manufacturers will only purchase components made in
the European Union (EU).
SCF’s owners are increasingly concerned about falling sales and profit margins. They
recently appointed a new Chief Executive who set out a vision for ambitious growth. The
growth plans focus on supplying directly to EU manufacturers from a new factory in Spain.
This factory would replace the existing UK site, where efficiency has been falling.
Appendix A Extract from SCF’s cash flow forecast
October 2025 November 2025
(£m) (£m)
Total inflows 3.24 3.35
Total outflows 3.11 3.22
Note: The closing balance for 31 October is £4.30 million.
Appendix B Financial information for SCF, 2022–2024
Year 2022 2023 2024
Inventory turnover (times) 5.9 5.6 5.2
Operating profit (£m) 0.92 0.71 0.63
Non-current assets (£m) 7.3 7.5 8.2
Non-current liabilities (£m) 3.1 2.9 2.8
Capital employed (£m) 9.3 10.0 10.2
*02*
IB/G/Jun25/7132/2
, 3
Do not write
outside the
Appendix C Value of total market and SCF’s sales in different markets, 2020–2028 box
Note: Values for 2026 onwards are forecasts. These do not take into account the plan to
move production to Spain.
Appendices continue on the next page
Turn over ►
*03*
IB/G/Jun25/7132/2
