If the price of coffee falls, which one of the following outcomes would be expected to occur? A A fall in the quantity of coffee demanded B A rise in the price of tea C A fall in the demand for drinking cups D A fall in the demand for tea

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• 1 The demand for fashion goods is not influenced by: A Price B Allocative inefficiency among produ

   The demand for fashion goods is not influenced by:

  A Price

  B Allocative inefficiency among producers

  C The distribution of income among households

  D Expectation of future price changes

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• 2 Which of the following is not a complement to cars? A Petrol B Tyres C Holidays

   Which of the following is not a complement to cars?

  A Petrol

  B Tyres

  C Holidays

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• 3Which of the following is not a substitute for carpets? A Ceramic floor tiles B Wooden floorboard

  Which of the following is not a substitute for carpets?

  A Ceramic floor tiles

  B Wooden floorboard

  C Carpet underlay

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• 4According to the theory of the firm, which of the following statements describes an oligopoly? A Th

  According to the theory of the firm, which of the following statements describes an oligopoly?

  A There are no barriers to entry into or exit from the market

  B There is only one producer in the market

  C There are four producers exerting considerable influence in the market

  D There are many producers but they each use product differentiation to distinguish themselves from each other

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• 5 A legal minimum price is set which is below the equilibrium price. What will be the impact of this

   A legal minimum price is set which is below the equilibrium price. What will be the impact of this?

  A Excess of demand over supply

  B Excess of supply over demand

  C Nothing

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• 6The supply curve of a firm operating in a competitive market is its A Marginal cost curve above the

  The supply curve of a firm operating in a competitive market is its

  A Marginal cost curve above the average variable cost curve

  B Marginal cost curve above the average total cost curve

  C Average total cost curve beyond the point where the marginal cost curve cuts it from below

  D Average variable cost curve below the average revenue curve

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• 7_________economic growth is determined by supply-side rather than by demand side factors. Which wor

  _________economic growth is determined by supply-side rather than by demand side factors.

  Which word correctly completes this statement?

  A Actual

  B Potential

  C National

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• 8Ali is responsible for preparing and issuing documents prior to a meeting, then acting on and commun

  Ali is responsible for preparing and issuing documents prior to a meeting, then acting on and communicating decisions following the meeting. What is his role?

  A Committee secretary

  B Committee member

  C Committee Chair

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• 9Janet works for a toy company called K Co. She telephones Mary at P Co on a daily basis to order par

  Janet works for a toy company called K Co. She telephones Mary at P Co on a daily basis to order parts.Janet has no contact with customers but does deal with complaint letters from D Group, an organisation against slave labour. D Group believe that K Co use slave labour in the toy manufacturing factories.Which of the following are internal stakeholders of K Co?

  A Janet only

  B Janet and Mary at P Co

  C Janet and D Group

  D Janet, Mary and D Group

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• 10Mr Q is manager of a division which is undergoing a business downturn. He tries to shelter the workf

  Mr Q is manager of a division which is undergoing a business downturn. He tries to shelter the workforce from the effects of downsizing: taking time for consultation, organising counselling and refusing to institute compulsory redundancies. Which one of the following cultural types identified in the Hofstede model is this manager most likely to

  represent?

  A Low power-distance

  B Low masculinity

  C Low uncertainty avoidance

  D High individuality

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