SCHOOL NAME

GRADE 10

BUSINESS STUDIES – CONTROLLED TEST

MARCH 2023

MARKS: 100
TIME: 90 MINUTES

This question paper consists of 8 pages, including cover.

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Business Studies/Grade 10 Term1/Controlled Test

INSTRUCTIONS AND INFORMATION

Read the following instructions carefully before answering the questions.

1. This question paper consists of THREE sections.

SECTION A: COMPULSORY
SECTION B: Consists of THREE questions (CHOOSE TWO)
SECTION C: Consists of TWO questions (CHOOSE ONE)

2. Read the instructions for each question carefully and take note of what is required.
3. Number the answers correctly according to the numbering system used in this
question paper. NO marks will be awarded for answers that are numbered
incorrectly
4. Except where other instructions are given, answers must be written in full
sentences.
5. Use the mark allocation and nature of each question to determine the length and
depth of an answer.
6. Begin the answer to EACH question on a NEW page, e.g., QUESTION 1 –
new page, QUESTION 2 – new page.
7. You may use a non-programmable calculator where applicable.
8. Write neatly and legibly.

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Business Studies/Grade 10 Term1/Controlled Test

SECTION A
QUESTION 1 (COMPULSORY)
Read the article below and answer the questions that follow.
1.
1.1. Various options are provided as possible answers to the following questions.
Choose the answer and write only the letter (A–D) next to the question
numbers (1.1.1 to 1.1.5) in the ANSWER BOOK, e.g., 1.1.6 D.

1.1.1. A statement that explains the reason for the existence of the business.
A. Vision
B. Mission
C. Goal
D. Objective

1.1.2. Cool Cat Ltd manufactures school clothes. The business operates in
the … sector.
A. primary
B. secondary
C. tertiary
D. public

1.1.3. Tshepo must maintain the machinery to avoid breakages. He is

therefore part of the … function.
A. human resources
B. public relations
C. purchasing
D. production

1.1.4. Bonny sells false matric certificates and drivers’ licenses to desperate
people. This is an example of…
A. bootlegging.
B. money laundering.
C. counterfeiting.
D. pyramid scheme.

1.1.5. An official appointed to investigate individuals’ complaints against a

company is known as a/an ….
A. ombudsman
B. manager
C. regulator
D. commissioner of oaths
(5 X 2) (10)

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Business Studies/Grade 10 Term1/Controlled Test

1.2. Complete the following statements by using the word(s) in the list below. Write
only the word(s) next to the question numbers (1.2.1–1.2.5) in the ANSWER
SHEET.

cash; macro; financial; market; lock-out;

marketing; internal; strike; external, credit

1.2.1. ASA regulates advertising in South Africa and is part of the …

environment.
1.2.2. To identify customers’ needs is the responsibility of the … function.
1.2.3. A/An … is action by an employer in order to prevent damages during
industrial action.
1.2.4. An advantage of … purchases is that the buyer can qualify for a
discount.
1.2.5. Creating a good public image and awareness to employees in the
company, is an example of … public relations.
(5 X 2) (10)
TOTAL SECTION A: [20]

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Business Studies/Grade 10 Term1/Controlled Test

SECTION B
Answer ONLY TWO questions in this section.

NOTE: Clearly indicate the QUESTION NUMBER of each question that you choose.
The answer to EACH question must start on a NEW page, e.g. QUESTION 2
on a NEW page, or QUESTION 3 on a NEW page.

QUESTION 2: BUSINESS ENVIRONMENTS

2.
2.1. Read the scenario below and answer the questions that follow.

RAM Couriers is a leading courier company in South Africa. The recent hikes
in interest rates have placed financial strain on the business. In the last six
months, three other courier companies have opened and serve the same
customers as RAM Couriers. They have also had to employ more drivers with
a motorbike licence.

2.1.1. Identify the three business environments from the scenario. (3)
2.1.2. Motivate your answer by quoting from the scenario. (3)
USE THE TABLE below as a guide to answer QUESTIONS 2.1.1 - 2.1.2.

Business Environment Motivation

2.1.1 2.1.2

2.2. Highlight the purpose of the organisational structure. (4)

2.3. Discuss suppliers as a component of the market environment. (4)
2.4. Assess the challenges of technology as a component of the macro (6)
environment.
[20]

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Business Studies/Grade 10 Term1/Controlled Test

QUESTION 3: BUSINESS OPERATIONS

3.
3.1. There are five basic management tasks. Name FOUR of them. (4)
3.2. Discuss the difference between leadership and management. (2)
3.3. Read the scenario below and answer the questions that follow.

Noxolo Gongotha has been appointed as a Purchasing Manager Trainee of

Nestle Baby Foods. Noxolo is in a trainee position for three months as she has
recently graduated with a B Comm degree.

3.3.1. Advise Noxolo on the purpose of the purchasing function. (4)

3.3.2. Outline the activities of the purchasing function (4)
3.4. Name and explain TWO activities of the administration function. (6)
[20]

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Business Studies/Grade 10 Term1/Controlled Test

QUESTION 4: MISCELLANEOUS
OPERATIONS
4.
4.1. Provide the meaning of working capital. (1)
4.2. Read the scenario below and answer the questions that follow.

Mrs. Bhengu is considering different sources of finance for her business. Her
first option is to borrow money from a bank and pay it back over a period of
time. If she is fortunate enough, she could also get financial support from the
government, which she might not have to pay back if her business benefits the
community.

4.2.1. Identify the sources of finance mentioned in the scenario. (2)

4.2.2. Mrs. Bhengu has never heard of angel funding before. Explain what it (4)
is to her.
4.3. Distinguish between a cash payment and a credit payment. (4)

ENVIRONMENTS

4.4. Read the scenario below and answer the questions that follow.

Although efforts have been made to improve the situation, the majority of
South Africans live in poverty and struggle to feed their families. Luxury items
such as high-end phones and laptops are things that many citizens might
never be able to afford.

4.4.1. Identify the macro environment feature from the scenario above. (1)
4.4.2. Describe the feature mentioned in QUESTION 4.4.1. (2)
4.5. Describe intermediaries in the business sense. (2)
4.6. Suggest TWO reasons why competition among businesses is beneficial to (4)
customers and the economy.
[20]
TOTAL SECTION B: [40]

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Business Studies/Grade 10 Term1/Controlled Test

SECTION C
Answer ONE question in this section.
NOTE: Clearly indicate the QUESTION NUMBER of each question chosen.
The answer to EACH question must start on a NEW page, e.g., QUESTION 5
on a NEW page OR QUESTION 6 on a NEW page.

QUESTION 5 – BUSINESS ENVIRONMENTS

Michelle’s business, Exclusive Furniture (EF) is in its first year of operation. According
to statistics, many businesses do not make it past their first year. To survive, EF must
learn to keep up with the changes and challenges in the macro environment.

With reference to the above statement the following fully:

• Challenges posed by features of the macro environment
- Physical environment
- Legal and political environment
- Economic environment
• The relationship between micro, market and macro environments
(40)

QUESTION 6 – BUSINESS OPERATIONS

Since 1994, the South African government is implementing new strategies to protect
previously disadvantaged individuals from exploitation.

In an essay, discuss fully:

• Purpose of the National Credit Act (NCA)
• Responsibilities of credit providers according to the NCA
• The impact of the National Credit Act on businesses
• The inter-relationship of the components of the micro environment.

(40)
TOTAL SECTION C: [40]
GRAND TOTAL: [100]

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