CAIE Business (9609)

Define the term involuntary redundancy.

Explain one way a business could use employee development to encourage multi-skilling.

Define the term inventory re-order level.

Explain one advantage to a business of holding buffer inventory.

Analyse one reason why a business may use cost-based pricing. [5] Section B Answer one question only. EITHER

Analyse two disadvantages to employees of an autocratic management style.

'The contribution of managers to business performance in a hospital is less important than that of medical employees.' Evaluate this view.

Analyse two advantages to a business of using sale and leaseback of non-current assets as a source of finance.

'The use of budgets is the most effective way to monitor the performance of a hotel.' Evaluate this view. [12] Permission to reproduce items where third-party owned material protected by copyright is included has been sought and cleared where possible. Every reasonable effort has been made by the publisher (UCLES) to trace copyright holders, but if any items requiring clearance have unwittingly been included, the publisher will be pleased to make amends at the earliest possible opportunity. To avoid the issue of disclosure of answer-related information to candidates, all copyright acknowledgements are reproduced online in the Cambridge Assessment International Education Copyright Acknowledgements Booklet. This is produced for each series of examinations and is freely available to download at www.cambridgeinternational.org after the live examination series. Local Examinations Syndicate (UCLES), which is a department of the University of Cambridge.