2022 AQA A-level BUSINESS Paper 1 Business 1

Section A Answer all questions in this section. Do not write outside the box The managers of a business propose to retain all of its profit to finance automation of its production. This is most likely to cause conflict with: [1 mark] A employees and lenders. B employees and shareholders. C lenders and suppliers. D shareholders and suppliers. A business is able to reduce unit costs because of lessons learned throughout the period in which it has existed. This is known as: [1 mark] A economies of scale. B economies of scope. C synergy. D the experience curve. Only one answer per question is allowed. For each question completely fill in the circle alongside the appropriate answer. CORRECT METHOD WRONG METHODS If you want to change your answer you must cross out your original answer as shown. If you wish to return to an answer previously crossed out, ring the answer you now wish to select as shown. 0 2 0 1lOMoAR cPSD| 3 *03* IB/G/Jun22/7132/1 In a decision tree the net gain of a decision is the: [1 mark] Do not write outside the box A average pay-off of the outcomes. B expected value of the best decision minus the expected value of the next best decision. C expected value minus the initial cost. D total pay-off of the outcomes minus the initial cost. Which one of these changes is most likely to lead to higher costs and higher demand for a product? [1 mark] A An increase in the rate of inflation B A rise in interest rates C Introducing fair trade principles D More competition Turn over for the next question