32/E/I/II

G.C.E A/L
EXAMINATION

BUSSINES STUDIES

Name :Rushika Udugama

 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
Kjyhk;; jtizg; guPl;ir - 2021
Conducted by Field Work Centre, Thondaimanaru
1st Term Examination - 2021
FWC
Grade :- 12 (2022) Business Studies - I Time: 3 Hours & 10 Minutes

Instructions:
Index Number: .....................................
• Answer all the questions on the question paper itself.
• Write your Index Number clearly in the space provided For Examiner’s Use only

g
above. For paper I
• Select the correct answers for the questions No. 1 – 15 and
Q.Nos. Marks

or
write its number on the dotted lines given.
• Write short answers for the questions No. 16 – 25 on the 01 – 15
dotted lines given. 16 - 25
• Each question carries two marks. Total

.
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01. Select the correct statements in relation to the term ‘business’.
A – Any economic activity carried out to fulfill human needs and wants is called business.
B – It includes trade and supportive services.
C – All activities related to production, marketing and distribution of goods and services to fulfill human
ee
needs and wants are called business.
D – It includes commerce and industries.
(1) A and C only (2) A, B and C only (3) A, C and D only
(4) A, B and D only (5) A, B, C and D (……)
.b

02. Select the correct statement in relation to ‘to be fulfilled by human to survive’.
(1) Unlimited (2) Not essentially to be fulfilled
(3) Not change due to social changes (4) Can be created by business persons.
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(5) Different person to person (……)

03. An economic activity which can be included under industrial sector in accordance with the classification
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of Gross Domestic Production of Sri Lanka is,

(1) recycle (2) legal advocacy (3) insurance
(4) sale of vegetable seeds (5) forestry (……)
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04. Some of gradual changes in the use of money from barter system up to now are given in column X and
examples for those changes are given in column Y in the following table. (One is given extra in column
Y.)
Column - X Column - Y
A – Commodity use 1 – credit card, debit card
B – Metal usage 3 2 – Rupees, Dollar, Euro
C – Use of currency notes and coins 3 – gold, silver
D – Bank money 4 – tobacco, sea shells
5 – cheque
(1) A-4, B-3, C-2, D-5 (2) A-3, B-2, C-1, D-5 (3) A-4, B-3, C-2, D-1
(4) A-4, B-3, C-5, D-1 (5) A-4, B-5, C-1, D-2 (……)

Grade - 12 (2022) January – 2021 FWC -1- Business Studies - I

05. Stakeholders are given in column X and social responsibilities to be fulfilled by businesses are given in
column Y in the following table.
Column X Column Y
A – Owner 1 – Contributing for employment
B – Employees 2 – Conducting fairly / Being fair
C – Customers 3 – Providing a fair earning
D – Society 4 – Equality
Select the correct answer which matches correctly the stakeholders and the reasons for their interest on
the business.
(1) A-2, B-3, C-3, D-1 (2) A-2, B-4, C-3, D-1 (3) A-3, B-1, C-2, D-4
(4) A-3, B-4, C-2, D-1 (5) A-2, B-1, C-4, D-3 (……)

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06. Impacts of some factors on school environment are given below.
A – A negative attitude of students for studies

or
B – Adequate classroom facility
C – No accountability of teachers for their responsibility
D – Good results of nearest school students

.
E – Good teaching skill of teachers
F – No adequate training for teachers
G – Obedience of students
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Select the answer which contains the strengths of internal environment of school.
(1) A, C, F (2) B, E, G (3) B, D, E, G
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(4) A, C, D, F (5) B, C, D (……)

07. Select the answer which contains task environment forces only.
(1) Owner, organizational culture
(2) Organizational structure, resources
.b

(3) Customers, competitors

(4) Economic environment, demographic environment
(5) Demographic environment, substitute producers (……)
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08. Vasan conducts a business which mines and refines gems and produces jewelries. This business can be
included under,
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(1) industrial sector, service production (2) agricultural sector, industrial sector
(3) primary production, tertiary production (4) secondary production, tertiary production
(5) primary production, tertiary production (……)
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09. A business can contribute to confirm the economic sustainable by,

(1) providing infrastructure facilities (2) maintaining internal price stability
(3) importing goods (4) maintaining equality in income distribution
(5) generating employment opportunities (……)

10. Select the correct example for ‘replace’ from the following.
(1) Using tiffin boxes instead of using lunch sheets to parcel food.
(2) Farming fishery resources by a business that engages in fishing industry.
(3) Not bottling drinking water in plastic bottles
(4) Producing paper from hay
(5) Starting a reforestation project by a firm that uses timber as a raw material (……)
Grade - 12 (2022) January – 2021 FWC -2- Business Studies - I
11. Consider the following related to a business.
A – Business B – Financial institutions
C – Employees D – Suppliers
E – Competitors F – Potential investors
Select the answer which consists of the parties to be considered by a business in developing code of
ethics.
(1) A, C, E, F (2) B, D, F (3) A, B, D, F
(4) C, D, E (5) A, C, E (……)

12. Which of the following is related to fiscal policy of government?

(1) Government canceled many rented building contracts to reduce building rent payment for many
ministries.

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(2) Central Bank has decided to issue treasury bills and bonds to collect the fund required to government.
(3) There is a possibility to reduce interest rate on the loans provided by commercial banks.

or
(4) Central Bank has reduced standing lending facility rate.
(5) Central Bank alters the discounting rate of government securities before its maturity according to
economic condition.

.
13. Consider the following taxes.
A – Corporate tax
C – Income tax
E – Withholding tax
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B – Value Added Tax
D – Custom duty
F – Production tax
Select the answer which has the correct classification of the above taxes into direct tax and indirect tax.
ee
Direct tax Indirect tax
(1) A, C, D B, E, F
(2) B, C, E A, D, F
(3) C, D, E A, B, F
.b

(4) A, C, E B, D, F
(5) B, E, D A, C, F (……)
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14. Select the institution which has formed to protect the consumers against the unfair trade practices and to
assure the consumer rights are honoured.
(1) Central Environment Authority
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(2) Sri Lanka Standard Institution

(3) Consumer Affairs Authority
(4) Measurement Units, Standards and Services Department
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(5) Telecommunication Regulatory Commission (……)

15. The advantages obtained by consumers and businesses by consumer protection are given below.
A - Getting an opportunity to consume products that give a value to the money paid.
B - Being protected from trade malpractices
C - The profit is increased through the increase turnover
D - Being created a favorable business environment since there is no unfavorable anticompetitive
practices.
E - Because of the consumer protection, legal cover can be obtained at the time necessary.
(1) A, B, D (2) A, B C (3) C, D, E
(4) A, B, E (5) A, D, E (……)

Grade - 12 (2022) January – 2021 FWC -3- Business Studies - I

• Answer the questions 16 – 20 by filling the blanks with the suitable words / word.
16. (a) Producing his own requirement by himself is known ……………………………….. and the result of
personal specialization is ………………………………….
(b) Local trade is classified as ……………………………… and ………………………………..

17. (a) Strengths and weaknesses of a business can be identified by studying …………………………..
environment of the business. And, opportunities and threats are identified by studying ………………..
environment.
(b) Based on the size, businesses can be classified as …………………………………….. businesses and
………………………………. businesses.

18. (a) When business functions are placed as input and output process, advertising, distribution and

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determining price are included under …………………………….. function, further, recruitment,
training and promotion are included under ……………………………. function.

or
(b) ………………………….. is interested in the business to find the growth of the business and
……………………………. is interested in the business to know the safety of the lending.

19. (a) When the ethics developed for a business is presented in written form, it is called …………………

.
………………………… Further, development which meets, the needs of the present, without

…………………………………………
on
compromising the ability of future generations to meet their own needs is called as

(b) Wastes are generated by modern society by the activities of …………………… and …………………

20. (a) Salaries and wages and interest expenses of government are …………………………. expenses and
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road construction and bridge construction are ……………………………. expenses.
(b) The business which is widely seen in Sri Lanka is ……………………………… And, the number of
owners in this business is ……………………………..
.b

• Write the specific answer in the space provided for the questions 20 – 25.
21. Write the characteristics of goods in comparing with services.
1. …………………………………………………………………………………………………………...
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2. …………………………………………………………………………………………………………...
3. …………………………………………………………………………………………………………...
4. …………………………………………………………………………………………………………...
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22. State how businesses contribute for the existence of the economy.
1. …………………………………………………………………………………………………………...
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2. …………………………………………………………………………………………………………...
3. …………………………………………………………………………………………………………...
4. …………………………………………………………………………………………………………...

23. State four important stages of gradual development of business.

1. …………………………………………………………………………………………………………...
2. …………………………………………………………………………………………………………...
3. …………………………………………………………………………………………………………...
4. …………………………………………………………………………………………………………...

Grade - 12 (2022) January – 2021 FWC -4- Business Studies - I

24. Categorize the following in accordance with nature of production.
1. Electricity, gas, heat and air conditioning ……………………………………
2. Construction industry ……………………………………
3. Mining and quarrying ……………………………………
4. Water treatment and distribution ……………………………………

25. State the parties to whom a business should fulfill its social responsibilities.
1. …………………………………………………………………………………………………………...
2. …………………………………………………………………………………………………………...
3. …………………………………………………………………………………………………………...
4. …………………………………………………………………………………………………………...

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. or
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Grade - 12 (2022) January – 2021 FWC -5- Business Studies - I

 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
Kjyhk;; jtizg; guPl;ir - 2021
Conducted by Field Work Centre, Thondaimanaru
1st Term Examination - 2021
FWC

Grade: 12 (2022) Business Studies - II

Use additional reading time to go through the question paper, select the questions you will answer
and decide which of them you will prioritize.
• Instructions:

g
Answer five questions, selecting at least two questions from each part.
Part I

or
01. Go through the following fact and answer the questions (i) – (iii).
Veni who completed a professional beautician course, started a beauty parlor business in the name of
‘Mangai’. She joined Sundar as a receptionist. Sundar also had the knowledge and experience related to

.
conducting business. She obtained a building to conduct this business and purchased a set of equipment
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to use in her business. She used advertisement and banner to provide information to customers.
(i) (a) State whether Veni’s business fulfills a need or a want of a person.
(b) Provide its two characteristics. (02 marks)
(ii) Categorize the Veni’s business under the following criteria.
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(a) Ownership (b) Objective
(c) Size (e) Sector (02 marks)
(iii) Write four factors of production used by Veni’s business, with examples. (02 marks)
(iv) State four characteristics of business. (02 marks)
.b

(v) Provide four objectives of businesses. (02 marks)

(Total 10 marks)
02. (i) State with examples, the evolution of money from barter system up to now. (02 marks)
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(ii) Write the supportive services required for businesses. (02 marks)
(iii) State the reasons which influenced on the popularity of e-business at present. (02 marks)
(iv) State new trends in the business field due to the growth of information technology at present.
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(02 marks)
(v) Show classification of trade in a flow chart. (02 marks)
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(Total 10 marks)
03. (i) State basic functions of a business. (02 marks)
(ii) Name the parties on whom a business is interested for the following reasons.
(a) To increase investment
(b) To get tax concession
(c) To protect the market of the goods and services
(d) To get finance at less cost (02 marks)
(iii) Write the two factors separately which can be seen in the inside and outside of a school. (02 marks)
(iv) Define separately organizational culture and organizational structure. (02 marks)
(v) Who are ‘competitors? State how they can be an opportunity and a threat for a business. (02 marks)
(Total 10 marks)
Grade 12 (2022) – 2021 FWC -1- Business Studies - II
 Part II
04. (i) Explain with examples how macro-economic environment creates opportunities for businesses.
(02 marks)
(ii) Define separately ‘Business Social Sesponsibilities’ and ‘Business Ethics’. (02 marks)
(iii) There are some developing forces that will have an impact on the stakeholders and the society in
general. State those factors. (02 marks)
(iv) Write with examples, two methods of recycle. (02 marks)
(v) Provide the adverse effects of business activities. (02 marks)
(Total 10 marks)
05. (i) State four economic objectives of government. (02 marks)
(ii) Provide main types of tax of government’s tax income. (02 marks)

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(iii) Write separately the objectives of fiscal policy and monetary policy of government. (02 marks)
(iv) What is consumer protection? Give the reasons for consumer protection at present more than past.

or
(02 marks)
(v) Explain how a rational consumer would behave in the market. (02 marks)
(Total 10 marks)

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06. (i) Even though tax is charged on business through fiscal policy, there are some positive impacts on

(ii)
(iii)
business due to fiscal policy. Explain.
on
Classify the government expenses and explain with examples.
(02 marks)
(02 marks)
State whether the following should be increased or decreased to make positive situation to businesses.
(02 marks)
ee
(iv) Provide consumer responsibilities. (02 marks)
(v) State how Sri Lanka Standard Institution implements quality standards. (02 marks)
(Total 10 marks)
.b
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Grade 12 (2022) – 2021 FWC -2- Business Studies - II

 Term Examination G.C.E. (A/L) – 2020 March
conducted by Field Work Center, Thondaimanaru in collaboration
with Provincial Department of Education, Northern Province
FWC

Grade 12 (A/L) 2021 Business Studies I Time : 3 hours & 10 Min.

Instructions:
Index Number:………………..
 Answer all the questions on this question paper itself.
 Write your Index Number clearly in the space provided above. For examiner’s use only
 Select the correct answers for the questions No. 1 – 15 and write Q.No. Marks

g
its number on the dotted lines given. 1 – 15
 Write short answers for the questions No. 16 – 25 on the dotted
16 – 25

or
lines given.
 Each question carries two marks. TOTAL

01. Select the answer which includes service providing businesses from the following.

.
(1) Aingaran bakery, Elephant soda, Bata shoe manufacturer
on
(2) Bright vehicle service station, Suthan motor bike repair work, Adidas apparels
(3) Shakthi hospital, Kumaran whole and retail trade, Global agency post office
(4) Bank of Ceylon, Nike apparels, Jeya stationery shops
(5) Nippon paint manufacturing, High land milk powder producer, Seylan Bank (……..)
ee
02. Some business transactions undertaken by Smart shoe manufacturing business are given below.
A – Maintaining employee arrivals report
B – Obtaining raw material required for shoe manufacturing
C – Distributing shoe manufactured
.b

D – Employee salary payment

E – Advertising for shoe in newspapers
F – Promoting employees
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G – Pricing shoes by adding 10% profit on cost

Select the answer which contains marketing activities only.
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(1) A, C, F (2) A, B, D (3) D, E, G

(4) C, E, G (5) C, E, F (……..)

03. Some information related to Kalaimagal Vidyalayam are given below.

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1. Obedient students
2. Less dedication of teachers
3. Lack of inadequate space for classrooms
4. Prefects have the skill of facing challenges
5. Lack of adequate teachers
6. Relevant school structure
7. Higher education of teachers
Select the number of statements which show the strengths of the particular school.
(1) 2 (2) 3 (3) 4 (4) 5 (5) 6 (……..)

Grade 12 (2021) - FWC -1- Business Studies I - Term Examination 2020 March
04. Some macro environment factors are given in column X and related examples are given in column Y.
X Y
1. Economic environment A – Creating trade agreement
2. Technological environment B – Conflicts in income distribution
3. Global environment C – Changes in climate and weather conditions
4. Political environment D – Outdating of goods
5. Natural environment E – Open economic policies
Select the order of examples in accordance with order of macro environment factors.
(1) B, D, A, E, C (2) B, D, A, C, E (3) B, D, E, A, C
(4) A, E, C, B, D (5) E, A, D, B, C (……..)

05. The activities that can be done by businesses to ensure social sustainable development are,

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(1) Generating employment opportunities, introducing innovations
(2) Respecting humanity, respecting human rights

or
(3) Purchasing environment friendly goods, waste management
(4) Functioning with equality, development of technology
(5) Protecting biological diversity, employee welfare activities (……..)

.
06. Select the statement which correctly shows the way government influences on businesses and examples
suitable for it. on
(1) Constructing trade centers and renting out to private to function as a customer
(2) Conducting Sri Lanka Transport Board to function as a competitor
(3) Implementing monetary policy and fiscal policy to function as a regulator
ee
(4) Charging tax through Inland Revenue Department to function as regulator
(5) Implementing waste management through local authorities to function as a customer (……..)

07. Which of the following can be considered as government’s fiscal policy?

.b

(1) Changing statutory reserve requirement

(2) Changing policy interest rates
(3) Reducing current expenditure and increasing capital expenditure
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(4) Open market operations

(5) Imposing credit limits
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08. Which of the following cannot be considered as an objective of Consumer Affairs Authority?
(1) Protection of consumers against unfair trade activities
(2) Ensuring the consumer rights are respected
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(3) Supporting the customers who are exploited in various ways.

(4) Assuring the goods and services are available in adequate quantities at competitive prices
(5) Improving consumer education regarding improvement and protection of consumer health (……..)
09. Select the condition not relevant for partnership business in accordance with Partnership Ordinance No.
24 of 1890.
(1) Profit and losses should be shared equally among the partners.
(2) Partners are not entitled to get salary for their work contributed to partnership business.
(3) New partner cannot be admitted to partnership without consent of all partners.
(4) Partners are entitled to obtain interest on capital.
(5) All partners are entitled to participate in management activities of business. (……..)

Grade 12 (2021) - FWC -2- Business Studies I - Term Examination 2020 March
10. Which of the following cannot be considered as a characteristic of the company limited by guarantee?
(1) Shares can be issued.
(2) There should be minimum 2 shareholders but no limitation to maximum number.
(3) No profit sharing
(4) It is started for a common purpose.
(5) The amount to be accepted by each shareholder at the time of dissolution of the business is mentioned
in the articles of association. (……..)

11. Tasty company ltd is a famous business in producing fruit jam and juice. This business has decided to
purchase a furniture manufacturing business which produces furniture suitable for homes and offices. The
combination suitable for this businesses is,
(1) Horizontal combination (2) Vertical combination

g
(3) Vertical and forward combination (4) Conglomerate combination
(5) Vertical and backward combination (……..)

or
12. Some characteristics of state business organizations are given below.
A – Being established under a special or general act
B – Being subject to direct government control through a ministry

.
C – Not having a legality
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D – Being controlled by a board of directors appointed by the government.
E – Allocation of necessary funds through the annual budget of the government.
F – Having a legality
Select the answer which contains the characteristics of state departments only.
ee
(1) C, D, E (2) A, D, E (3) A, D, F
(4) A, B, E (5) B, C, E (……..)

13. Some information related to businessman / entrepreneur are given below.

- Nimalan : conducts a printing business obtained from his father using modern technologies
.b

according to new trend.

- Wimal : involves in purchasing and selling shares in share market.
- Vithya : produces biscuit items suitable for diabetic patients.
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- Chandrika : distributes text books with free of charge as a promotion to win local government
election
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- David : conducts a vehicle service station using a new technology invented by him.
Which of the above persons cannot be considered as entrepreneurs?
(1) Nimalan, David (2) Wimal, Chandrika (3) Vithya, Chandrika
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(4) Nimalan, Vithya (5) David, Vimal (……..)

14. Select the statement which best defines small business,

(1) business owned by a single person (2) located in rural areas
(3) labour intensive business (4) Having no legality
(5) Not influencing in the related field (……..)

15. The money which does not have 100% liquidity as legal tender, functions as store of value and can be
converted into cash easily is,
(1) Near money (2) Bank money (3) Credit money
(4) E-money (5) Legal tender (……..)

Grade 12 (2021) - FWC -3- Business Studies I - Term Examination 2020 March
● Fill the blanks in the questions 16 – 20 using correct words.
16. (a) Producing his own requirement by himself is known as …………………………….…….. and
………………..………………… resulted in due to specialization.
(b) Mining and quarrying is included under ……………………………………. when businesses are
categorized based on nature of production but they are included under ………………………………
when businesses are categorized based on sector.

17. (a) …………………………………………… is to perform business activities in an unbiased way to all

stakeholders. When the ethics developed for a business are formed in a written document, it is called
as ………………………………………
(b) Influence of Sri Lankan government on businesses takes place through central government,
……………….…………….. and ……………………………

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18. (a) ……………………………… price stability of economy is maintained by controlling inflation and
stabilizing price level and ……………………………… price stability is maintained by maintenance

or
of stable foreign exchange.
(b) State departments, …………………………………. and ……………………………… are
categorized under public sector, when business organizations are categorized based on ownership.

.
19. (a) …………………………………….. is a private sector business, which is an independent organization

businesses.
on
and provide one vote for one man. Mc Donalds, KFC etc. are …………………………… franchise

(b) ………………………………… functions a bridge between capital and labour. ………………………

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is main armoury of it.

20. (a) ………………………………… board provides Best Achiever award to promote small and medium
businesses.
(b) ………………………………. and ……………………………… are the main services provided by
.b

commercial banks.

● Write the short answer for the questions 21 – 25.

21. State four major stages of evolution of business.
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(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………
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(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………
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22. Some ways of fulfilling social responsibilities by a private bank are given below.
A – Protecting the rights of customers
B – Providing good job security for its bank employees
C – Being environment friendly in banking activities
D – Carrying out banking management activities efficiently and honesty
Write to whom the above social responsibilities are fulfilled.
A - ……………………………………………………………………………………………………………
B - ……………………………………………………………………………………………………………
C - ……………………………………………………………………………………………………………
D - ……………………………………………………………………………………………………………

Grade 12 (2021) - FWC -4- Business Studies I - Term Examination 2020 March
23. Categorize the following taxes into direct and indirect tax.
Withholding tax, Value added tax, Capital gain tax, Custom duty
Direct tax Indirect tax
(1) …………………………………………….. (1) …………………………………………….
(2) …………………………………………….. (2) …………………………………………….

24. Some statements related to characteristics of business organizations are given below. Write the type of
business organization relevant to the characteristic.
(1) Business organization belonging to a single person, having no legal personality, being unlimited
liability: ………………………………………………………………………………………………….
(2) The companies allowed to issue shares and debentures to public : ……………………………………..

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(3) The business organization started with profit motive, having mutual agency relationship among its
owners: …………………………………………………………………………………………………..

or
(4) The companies having its business in Sri Lanka but initially incorporated outside of Sri Lanka:
……………………………………………………………………………………………………………

25. Write four functions of money.

.
(1) ……………………………………………………………………………………………………………
on
(2) ……………………………………………………………………………………………………………
(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………
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.b
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Grade 12 (2021) - FWC -5- Business Studies I - Term Examination 2020 March
 Term Examination G.C.E. (A/L) – 2020 March
conducted by Field Work Center, Thondaimanaru in collaboration
with Provincial Department of Education, Northern Province
FWC

Grade 12 (A/L) 2021 Business Studies II

Instructions:
 Answer five questions selecting at least two questions from each part.

Part I

g
01. Vigash conducts a business regarding designing decorative curves for ceremony stages using beautiful
artificial bouquets. As he did his work by making good designs using different design techniques obtained

or
from websites, his business became popular and sales and profit increased. He determined the prices
based on each package. He promoted his business through internet and got orders from online. Then, he
appointed five employees, as orders started to increase.
1. State two main business activities mentioned in the above passage.

.
2. Explain how the above business supports for economic survival of a country.

(a) Land (2) Labour

on
3. State two advantages and two disadvantages Vigash business can obtain from online business.
4. Write one example for each of the following inputs (resources)
(3) Information (4) Knowledge
5. State four task environment forces related to Vigash business. (4 × 5 = 20 marks)
ee
02. “Sustainable development is the development which meets, the needs of the present, without
compromising the ability of future generations to meet their own needs.”
1. State three pillars of sustainable development.
2. Write four matters to be considered by a business in carrying out activities in favour of economic
.b

sustainable development.
3. State four 4R concepts of waste management.
4. Mention four importance of following business social responsibilities by businesses.
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5. Write two business ethics to be followed by a retail business owner in favour of its customers in a
generally accepted manner. (4 × 5 = 20 marks)
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03. Vaheesan conducts a business related to bottling jam produced using fruits available at cheater price his
village. He provided employment opportunities for 25 employees living in that area. He carries out his
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production activities in accordance with rules and regulations imposed by government time to time.
1. State the economic aim of government to which Vaheesan contributes through his business.
2. Explain how the business of Vaheesan contributes for the economic aim of government you
mentioned above.
3. Explain how fiscal policy of government favourably affects on business of Vaheesan.
4. Assume that banks reduce interest rate on the loan they provide. Explain briefly the positive impacts
on his business, if he receives a bank loan in this situation.
5. Quality certificate should be compulsorily obtained by Vaheesan business for his products from Sri
Lanka Standard Institution. Write four advantages of obtaining such quality certificate.
(4 × 5 = 20 marks)

Grade 12 (2021) 2019 November - FWC -1- Business Studies II - Term Examination
 Part II
04. Names of some business organizations are given below.
A – Segaram book shop
B – Siva & bros
C – Ceylinco PLC
D – Sri Lanka Electricity (Pvt) ltd.
1. Write the types of business organizations for the businesses mentioned above.
2. Write four advantageous characteristics of business organization mentioned by letter A.
3. State two unique features of the business named by B in comparing with business named by A.
4. Provide two similar features of businesses named by C and D.
5. Write two business organizations from the above, which have unlimited liability and no legal

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personality. (4 × 5 = 20 marks)

05. Rathan has taken a tile factory which functioned with loss, changed its traditional production method and

or
used modern techniques to produce tiles in latest shapes. He obtained required raw material and
employees from the place where his business is located.
Maran, a hardware owner, sells Rathan’s products in his areas.

.
1. Explain the relationship between the entrepreneurship of Rathan and business of Maran, from the
above passage.
on
2. Provide four advantages of Rathan’s entrepreneurship to the society and economy.
3. State four common characteristics of entrepreneurship.
4. Provide four skills to be developed by Rathan to conduct his business successfully.
ee
5. State four quantitative criteria used to classify small and medium scale businesses.
(4 × 5 = 20 marks)

06. 1. Explain with four reasons as to why people are more interested to start small scale businesses in
comparing with large scale businesses.
.b

2. State four financial motivations taken by government to promote small and medium scale businesses.
3. Provide four ways of contribution of licensed commercial banks to the business activities.
4. Write four functions of Central Bank of Sri Lanka.
w

5. Differentiate bank overdraft and bank loan. (4 × 5 = 20 marks)

w
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Grade 12 (2021) 2019 November - FWC -2- Business Studies II - Term Examination
 tlkhfhzf; fy;tpj; jpizf;fsj;Jld; ,ize;J
njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
%d;wk; jtizg; guPl;ir - 2020
Conducted by Field Work Centre, Thondaimanaru.
In Collaboration with Provincial Department of Education
Northern Province
FWC 3rd Term Examination - 2020

tzpff;fy;tp -I Three Hours

32 E I
Business Studies -I
Gr. 12 (2021)

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Instructions
Index Number :…………………..
 Answer all the question in Paper I on this paper itself.
 For examiner’s use only

or
Select the most appropriate answer and write its number on
the dotted line when answering question number 1 to 15. Q.No Marks
 Fill in the blanks using appropriate words from question 1 – 15
number 16 to 25. 16 – 25

.
 Each question carries 2 marks Total
on Part I

01. Select the most appropriate statement relating to evolution of business.

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1. Specialization arising through indirect production
2. Arising indirect production due to excess of production
3. Use of money arising with batter system
.b

4. Specialization arising through direct production

5. Arising industrial revolution due to excess of production (……….)
w

02. Which one of the following is not considered as a contribution of business to the existence of the economy?
1. Contributing for the economic policy of government
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2. Satisfying changing and complex wants

3. Involve in innovation.
w

4. Generating employment opportunities

5. National economic development (……….)

03. The environment which influences on business and cannot controlled by the organisation but can be
controlled by the financial regulator is:
1. Political environment 2. Legal environment 3. Economic environment
4. Social and cultural environment 5. Technological environment (……….)

Grade – 12 (2021) 3rd term – 2020 FWC 1 Business Studies I

04. Which one of the following is related to Social sustainable development?
1. Enhance the standard of living of people 2. Efficient use of resources
3. Growth in benefits of stakeholders 4. Introducing innovation
5. Developing technology (……….)

05. The following table shows the International Standards and its name:

International Standards Name of Standards

A. ISO 50001:2018 1. Social responsibility

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B. ISO 45001:2018 2. Environmental protection
C. ISO 26000:2010 3. Energy management

or
D. ISO 14001:2015 4. Occupational health and safety

The correct order of the International Standards for the Name of Standard is:

.
1. ACBD 2. CDBA 3. CABD 4. CDAB 5. BADC (……….)

06. The following are the rights of consumers

A. Right to safety
on
B. Right to satisfaction of basic needs
ee
C. Right to be informed
D. Right to redress
E. Right to consumer education
.b

F. Right to choose
G. Right to live in a healthy environment
H. Right to be heard
w

Select the group which consist only the rights declared by the organization of international consumers.
1. BGDH 2. BGDE 3. BCGE 4. CDFG 5. CDGH (……….)
w

07. Which one of the following is not related to a public limited company?
w

1. Minimum number of shareholder is one and maximum is unlimited

2. There is no restriction to transfer shares
3. Solvency test is not compulsory during the share of premium
4. These companies can be registered as listed companies
5. Minimum number of directors are two (……….)

08. The combination of business for joining a food-ware company with furniture company is known as.
1. Mergers 2. Acquisitions 3. Conglomerate combinations
4. Vertical combinations 5. Horizontal combinations (……….)

Grade – 12 (2021) 3rd term – 2020 FWC 2 Business Studies I

09. Kannan is a technological graduate. He is a creative thinker. He produced user-friendly motorcycles to be
used by differently abled. He planned and started his business effort within Sri Lanka with dedication
and self-confidence.
1. 3 2. 4 3. 5 4. 6 5. 7 (……….)

10. The following table shows the rawbacks of barter system and the functions of money.

Drawbacks of barter system Functions of money

1. Dual core incidence A. Store of value
2. Difficult to measure the value of B. standard of value

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products C. Acting as a deferred payment
3. Difficult to store goods for future needs D. Being a medium of exchange

or
4. Difficult to make future payments

Select the correct order for the functions of money which sort out the problem in barter system:

.
1. DACB 2. DBAC 3. DBCA 4. BDAC 5. BACD (……….)
on
11. Select the incorrect statement about the use of cheque is:
1. Bearer cheque cannot be transferred without endorsement
ee
2. Drawer only has the authority for removing crossing from cheque
3. Order cheque, not negotiable crossed cheque, and account payee crossed cheque should be in a name
4. Cheques are used under the banking act
(……….)
.b

5. Lifetime of cheque is 6 years

12. The following are some types of insurance policies for a businessman.
w

A. Motor vehicle insurance

B. Employee compensation insurance
C. Fire insurance
w

D. Marine insurance
E. Product liability insurance
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Select the group which consist only liability insurance is:

1. ABD 2. ABC 3. ADE 4. BCD 5. ABE (……….)

13. The contribution of development in transportation system due to sustainable development is

1. Development in way, mode, power and terminal
2. Development in international trade due to rehabilitation in flight runways
3. Development in commercial relationship due to rehabilitation in harbour
4. Development in road and railway transportation
5. Development in commerce among countries (……….)

Grade – 12 (2021) 3rd term – 2020 FWC 3 Business Studies I

14. Which one is not included in ‘6C’ as an advantage of purchasing a product through internet?
1. Cost effective 2. Choice 3. Convenience
4. Conformation 5. Communication (……….)

15. The document which is used to change dirty bill of lading to pure bill of lading is:
1. Letter of credit 2. Letter of Indemnity 3. Indent
4. Insurance certificate 5. Certificate of origin (……….)

16. a. Want which arise with ….…………………………… is called as …………………………………..

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b. The value of total output which is produced within the boundary line of a country is called
………………………………………… and it will be calculated by the Central Bank of Sri Lanka

or
based on ……………………………………………

17. a. ……………………………………………. means to act favourably to all the interested parties

.
acknowledging the good and bad.
on
b. Monitory policy is implemented by the …………………………………………… and fiscal policy
implemented by …………………………………………………………
ee
18. a. Sole trader ship and partnership are registered under No. 6th of 1918 the Business Trade Name
Ordinance, in …………………………………………………… and practically it is registered in
…………………………………………………………
.b

b. Franchise businesses are operated under …………………………………………… between

……………………………………………… and ……………………………………………..
w

19. a. The innovation for sorting out social and environmental issues is ………………………… and
inducing the involvement of women is called ……………………………………………
w

b. SLIC is known as ………………………… and NDC is ………………………………….. as the

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organisations facilitating to small businesses

20. a. The logistic systems used by aeroplane manufacturing company is ………………………… and
chemical manufacturing company is …………………………………………………….

b. The …………………………………… is the one who purchases or sells on his personal desire on
behalf of his master (head) for his head’s benefit and earns a reasonable amount as commission and
the agent who sells goods on credit and is responsible for the collection of debts from the relevant
parties is ……………………………………………………………….

Grade – 12 (2021) 3rd term – 2020 FWC 4 Business Studies I

21. State the modern trends of business.

1. ……………………………………………………………………………..……………………………

2. ……………………………………………………………………………..……………………………

3. ……………………………………………………………………………..……………………………

4. ……………………………………………………………………………..……………………………

22. State four contractual saving organisations.

g
1. ……………………………………………………………………………..……………………………

2. ……………………………………………………………………………..……………………………

or
3. ……………………………………………………………………………..……………………………

4. ……………………………………………………………………………..……………………………

.
23. State four elements of policy rates.

1. ……………………………………………………………………………..……………………………
on
ee
2. ……………………………………………………………………………..……………………………

3. ……………………………………………………………………………..……………………………

4. ……………………………………………………………………………..……………………………
.b

24. State the types of hull insurance.

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1. ……………………………………………………………………………..……………………………

2. ……………………………………………………………………………..……………………………
w

3. ……………………………………………………………………………..……………………………
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4. ……………………………………………………………………………..……………………………

25. State four factors that provide the basis for foreign trade.

1. ……………………………………………………………………………..……………………………

2. ……………………………………………………………………………..……………………………

3. ……………………………………………………………………………..……………………………

4. ……………………………………………………………………………..……………………………

Grade – 12 (2021) 3rd term – 2020 FWC 5 Business Studies I

 tlkhfhzf; fy;tpj; jpizf;fsj;Jld; ,ize;J
njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
%d;wk; jtizg; guPl;ir - 2020
Conducted by Field Work Centre, Thondaimanaru.
In Collaboration with Provincial Department of Education
Northern Province
FWC 3rd Term Examination - 2020

tzpff;fy;tp - II Gr. 12 (2021) 32 E I

Business Studies - II

Part I

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Instructions


or
Answer altogether five question selecting at least two question from each part.

01. i) Raja who studied GCE A/L commerce stream from a private school which is located in town area, has
been selected to university

.
a. State one ‘need’ and one ‘want’ satisfied by Raja from that private school.
on
b. State four differences between needs and wants.

ii) The businesses operated in a country are categorised into different criteria. State four criteria used for
classifying business.
ee
iii) As different parties have interest on business for different purposes, businesses also have interest on
different parties for different purposes. State the reasons why businesses have interest on different
parties.
iv) State four factors of production with example for each used by a furniture manufacturing organisation.
.b

v) Different environmental forces which influence on business are controlled and not controlled by the
organisation.
a. State four environmental forces influences on business which are controlled by the organisation.
w

b. State four environmental forces influences on business which are not controlled by the
organisation.
w

(5x2=10 marks)

02. i) Suresh established a cafe after completing GCE A/L examination in 2019. State four social
w

responsibilities for protecting customers.

ii) Define the term – ‘sustainable development’ and state its components in a Venn diagram.
iii) State the macroeconomics objectives of government and also state the methods of contribution by
business to achieve it.
iv) The Government influences on business in different ways for the success of business. State four ways
of Government intervention on business.
v) The Consumer Affairs Authority was established for protecting consumers in national level. State four
functions of The Consumer Affairs Authority.
(5x2=10 marks)
Grade – 12 (2021) 3rd term – 2020 FWC 1 Business Studies II
03. i) State two advantages and disadvantages of sole trader-ship when compared with partnership.
ii) Amalan and Kamalan operate a cafe named AK cafe with a contribution of 100000/= by each without
a written agreement. State the related acts on this business and its necessity.
iii) There are failures in most of the cooperative businesses due to high competition in the present
situation. State four situation for the failures.
iv) State the modern trends of entrepreneurship.
v) Many incentives are provided for development of small scale businesses. State two examples for
financial and non-financial incentives.

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(5x2=10 marks)

or
Part II

04. i) Anything that is generally accepted in exchange of goods and services is considered as money.

.
a. State the characteristics of money.
b. State the elements of legal money. on
ii) State four services provided by commercial banks to business other than accepting deposit and issuing
ee
loan.
iii) State the services of the Central Bank for the success of business.
iv) Suresh who is in Jaffna maintains a current account at Bank of Ceylon, Kaithady branch. Suresh has
sold his car worth 500000/= to Kannan who is in Kilinochchi and maintains a current account at
.b

People’s Bank, Paranthan. It has been planned to use a high security cheque for this transaction. Draw
the cheque and mentions its parts.
w

v) State the difference between Co-operative Rural Banks and Thrift and Credit Co-operative Societies.
(2x5=10 marks)
w

05. i) There has been many insurance policies for businesses in order to protect from future risk.State four
w

benefits for businesses by insurance.

ii) State four differences between life insurance and other insurance.
iii) What do you mean by the term – ‘pulling of risk’?
iv) Sate the communication process.
v) Selva is a Senior Executive Officer of a garment factory. He arranges a building for his staff and runs
it for a long time. Sometimes he has emotionally scolded his staff. However, he could not achieve
what he expected from the building. State the features which should be in that communication if the
above communication process should prevail as he expected?

Grade – 12 (2021) 3rd term – 2020 FWC 2 Business Studies II

06. i) Vikki purchases flowers from Kandy and makes garlands and has been distributing them for wedding
halls in Jaffna. State the reasons to be taken into consideration when he chooses best mode of transport
for his distribution
ii) Warehousing is a process of storing and preserving stocks from the time of buying or manufacturing
until they are sold or used or distributed. State the elements of process of Warehousing.

iii) a. What do you mean by ‘logistics’?

b. State the benefits of logistics.

iv) a. What do you mean by ‘distribution channels’?

g
b. State the modern trends of retail trade.

or
v) a. What do you mean by ‘letter of credit’?
b. What do you mean by ‘margin deposit’?

.
.
on
ee
.b
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w
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Grade – 12 (2021) 3rd term – 2020 FWC 3 Business Studies II

 www.beeon.org

1st Term Examination G.C.E. (A/L) – 2023

National Field Work Center, Thondaimanaru
FWC

Grade 12 (A/L) 2024 Business Studies I Time: 3 hours & 10 Min.

Instructions:
Index Number:………………..
• Answer all the questions on this question paper itself.
• Write your Index Number clearly in the space provided above. For examiner’s use only
• Select the correct answers for the questions No. 1 – 15 and write Q.No. Marks
its number on the dotted lines given. 1 – 15
• Write short answers for the questions No. 16 – 25 on the dotted 16 – 25
lines given.

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• Each question carries two marks. TOTAL

r
01. “Anything offered to market to fulfill human needs and wants is called product.” Select the answer which

o
.
contains service product only.

n
(1) Plastic goods, spare parts, fittings, newspaper (2) Food stuff, bread, musical instruments, bus
(3) Canteen, movie, hairstyle, insurance (4) machine, molting, bank, musical concerts

o
(5) Machine repair, polishing, soap, jewelries (……)

e
02. The following flow chart shows the classification of business.

e
Business

. b
Industries
w 1
……………………………..

w
Extractive industry
w ………………...
2
………………...
3
Supportive services

Select the answer which contains the suitable words for the blanks 1, 2 and 3 in the above diagram.
(1) 1 – Commerce, 2 – Converting industry, 3 – Mining
(2) 1 – Production, 2 – Assembling industry, 3 – Agriculture
(3) 1 – Production, 2 – Manufacturing industry, 3 – Trade
(4) 1 – Commerce, 2 – Manufacturing industry, 3 – Trade
(5) 1 – Commerce, 2 – Converting industry, 3 – Trade (……)

03. Mining and quarrying, manufacturing industry, construction industry, power, gas, heat and air conditioning
are included under,
(1) agriculture production (2) primary production (3) industrial production
(4) secondary production (5) Tertiary production (……)

Grade 12 (2024) - NFWC -1- Business Studies I – 1st Term Examination 2023
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 www.beeon.org
04. Which of the following is not a criterion used to classify the businesses?
(1) Nature of production (2) Scale or size (3) Management
(4) Objective (5) Ownership (……)

05. The environment which influences purchasing power of people and the cost to be borne by businesses is,
(1) economic environment (2) social and cultural environment
(3) political environment (4) legal environment
(5) demographic environment (……)

06. Select the answer which consists of demographic environment forces only.
(1) price, inflation, interest rate, savings
(2) educational level, age level, gender differences, size of population
(3) discovery of natural resources, climate and weather changes, location, natural disaster
(4) trade agreement, trade combination, emergence of world organization, international rules and
regulations

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(5) individual beliefs, traditions, conventions, customs (……)

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07. The environment factor which provides alternative product or service to those offered by a business is,

. o
(1) customer (2) supplier (3) competitor
(……)

n
(4) potential investor (5) substitute producer

o
08. The stakeholder who support for the long-term existence of a business is,
(1) customer (2) creditors (3) employees

e
(4) manager (5) supplier (……)

e
09. Some social responsibilities fulfilled by a business are as follows.

b
.
A – Job security
B – Contribution to employment opportunities

w
C – Providing economic benefits
D – Waste management

w
E – Conducting fairly

w
F – Equality
G – Green production
Select the answer which consists of the social responsibilities of business for society.
(1) A, C, D (2) B, E, F (3) B, F, G
(4) B, D, G (5) A, B, C (……)

10. Which of the following need not to be considered by businesses when they carry out the activities in favour
of economic sustainable development?
(1) production and consumption (2) full employment (3) disaster management
(4) international trade (5) competing fairly (……)

11. Some statements from advertisements obtained via e-mail are given below.
“You won a lottery!”
“You won an airway ticket!”
“Get a television free!”
Which of the following has been violated by a business by the above advertisement statements?
(1) Business social responsibility (2) Business ethics (3) Human rights
(4) Government policies (5) Consumer rights (……)
Grade 12 (2024) - NFWC -2- Business Studies I – 1st Term Examination 2023
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 www.beeon.org
12. Economic stability of a country on internal and external price stability. External price stability means,
(1) maintaining inflation rate in a constant level
(2) maintaining interest rate in a constant level
(3) maintaining price level in a constant level
(4) maintaining foreign exchange rate in a constant level
(5) maintaining tax policy of government in a constant level

13. Select the answer which contains the direct taxes only.
(1) VAT, custom, corporate tax (2) income tax, corporate tax, withholding tax
(3) capital gain tax, custom tax, production tax (4) income tax, VAT, withholding tax
(5) corporate tax, VAT, production tax

14. Which of the following cannot be considered as a consumer responsibility?

(1) Getting compensation (2) Getting consumer knowledge
(3) Continuous participation (4) Concern about society

g
(5) Concern about environment

r
15. The aims of government and the contributions of businesses to achieve those aims are given in column X

. o
and column Y respectively.

n
X Y
1. Systematic economic development and growth A – Maintaining constant price level

o
2. Full employment level B – Contribution to gross national production

e
3. Economic stability C – Environment friendly business activities

e
4. Sustainable development D – Generating new employment opportunities

b
Select the answer which contains the correct order of contributions of businesses given in column Y to

.
achieve economic aims of government given in column X.

w
(1) A, B, C, D (2) B, D, A, C (3) B, D, C, A
(4) A, C, D, B (5) D, C, B, A

w
⚫ Fill the blanks in the questions 16 – 20 using relevant words.

w
16. (a) Human needs and wants are fulfilled by ………………………………………
(b) Surplus production occurred as a result of ………………………………. and surplus production
generated …………………………….
17. (a) The physical and mental contributions of persons to produce goods and services are called as
…………………………………….. Further, collection of intellectual activities of a business is called
as ………………………………….
(b) ……………………………. are interested in the business to obtain quality goods and services and
…………………………….. is interested to improve employment opportunities.

18. (a) ………………………… environment factor creates the market for a business and ……………………
contributes for changes in life style of people.
(b) ………………………………. and …………………………… are identified by studying internal
environment.

19. (a) …………………………….. is to perform business activities in an unbiased way to all the stakeholders.
(b) The activities related to income and expenditure of government are called …………………………….

Grade 12 (2024) - NFWC -3- Business Studies I – 1st Term Examination 2023
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20. Some examples for the influence of government of businesses are given below. State the relevant role of
government related to these influences.
(a) Road maintenance: ………………………………………………..
(b) Implementation of trade ordinance: ………………………………………………..

⚫ Write short answers for the questions 21 – 25.

21. State gradual development stages of business.
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………
(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………

22. Provide four benefits that a businessman can obtain by studying business environment.
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………

g
(3) ……………………………………………………………………………………………………………

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(4) ……………………………………………………………………………………………………………

. o
23. Write four circumstances where suppliers are opportunities of a business.
(1) ……………………………………………………………………………………………………………

n
(2) ……………………………………………………………………………………………………………

o
(3) ……………………………………………………………………………………………………………

e
(4) ……………………………………………………………………………………………………………

e
24. State four parties to whom a business should fulfill its social responsibilities.

b
(1) ……………………………………………………………………………………………………………

.
(2) ……………………………………………………………………………………………………………

w
(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………

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25. Mention the consumer rights declared by ‘International Consumer’.

w
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………
(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………

(25  2 = 50 marks)

*****

Grade 12 (2024) - NFWC -4- Business Studies I – 1st Term Examination 2023
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 www.beeon.org

1st Term Examination G.C.E. (A/L) – 2023

National Field Work Center, Thondaimanaru

FWC

Grade 12 (A/L) 2024 Business Studies II

Instructions:
• Answer five questions selecting at least two questions from each part.

Part I
01. Samanthi who lived in Jaffna has obtained a degree in modern fashion designing. She started a garments
industry in a part of her house. She purchased sewing machines and computers required for her factory and
appointed her friend Ragavi as manager and hired eight well-trained employees. She designed fashions

g
using computer, exhibited her products in internet an fulfilled the orders she received.

r
(i) (a) Write the need mentioned in the above case.

o
(b) There are many wants to fulfill the need mentioned in (i) (a). State two characteristics of those

.
wants.

n
(ii) (a) State two main business activities fulfilled by Samanthi business.

o
(b) Provide two contributions of the above stated business for the existence of economy.

e
(iii) Give example for the following business functions considering the above business.
(a) Marketing (b) Human resource

e
(c) Production (d) Information management

b
(iv) State examples for the following factors of production (input / resources) used by the above business.

.
(a) Land (b) Labour

w
(c) Knowledge (d) Information
(v) State four internal environment forces and give examples from Samanthi business.

w
(5  2 = 10 marks)
02. (i) (a) State two differences between goods and services.

w
(b) Provide four task environment forces.
(ii) State whether the following are business activities or not.
(a) Vimala prepared herself the food stuff for her daughter’s birthday.
(b) Kamalan sold his own motor car to his friend Arunan.
(c) Rangan who produces ghee sells to retail shops.
(d) Mogan sold Centella asiatica (Gotu kola / Vallaarai) produced in surplus in his home garden to
nearest vegetable retail shops.
(iii) (a) Here are two news headings. State the relevant external environment forces related to it.
1. Health division informed that students should wear the face mask due to prevailing air pollution
and weather condition.
2. In western countries, motor cars running with solar power are used for transportation.
(b) Provide four economic environment forces.
(iv) Define the following concepts.
(a) Market (b) Barter system
(v) State three pillars of sustainable development.
(5  2 = 10 marks)

Grade 12 (2024) 2023 May - FWC -1- Business Studies II – 1st Term Examination
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 www.beeon.org
03. (i) State four objectives of businesses.
(ii) Write four supportive services required by a business.
(iii) State four stakeholders of a stationery shop and write one reason for their interest on the business.
(iv) Write four facts that should be focused by a paper production factory to ensure environment sustainable
protection.
(v) (a) Name the policy used to maintain macro-economic stability of government.
(b) State two types of government expenditures. (5  2 = 10 marks)

04. (i) State how the following internal environment forces of a school can be strength and weakness.
(a) Teachers (b) Principal
(ii) A transport service business fulfills the following social responsibilities.
(a) Employment of ten drivers and conductors
(b) Business owner has made an employer liability insurance for the benefit of employees.
(c) Providing high quality transport service at reasonable price.
(d) Planning to use motor vehicles running with solar power in future.

g
Name the parties to whom the above social responsibilities are fulfilled.

r
(iii) (a) Provide two advantages that a business can obtain by following marketing ethics.

o
(b) State two ethical conducts you have to follow, as students, when you enter into a holy shrine.

.
(iv) Provide four advantages that a business can obtain by following social responsibilities.

n
(v) Write two advantages that a businessman can obtain by studying external environment of a business.

o
(5  2 = 10 marks)
05. (i) Provide four facts to be considered in developing business ethics.

e
(ii) ‘It is important to develop the relationship between government and businesses.’ Explain this statement.

e
(iii) Write two advantages which domestic businesses can obtain due to increase of import tariff.

b
(iv) When Suyatha purchased a fruit cordial bottle from a shop in her area, she observed that the expiry date

.
was changed. When she asked about it to the shop-keeper, a satisfactory reply was not given by him.

w
Name two consumer rights violated here.
(v) Write short note on the following.

w
(a) Bank interest rate (b) Open market operations (5  2 = 10 marks)

w
06. (i) Write four services provided by Sri Lanka Standard Institution to businesses.
(ii) Some examples for 4R concept are given below.
(a) Using cloth bags instead of plastic bags
(b) Purchasing durable goods
(c) Preparing safety boxes for eggs using waste papers
(d) Producing medals for sports winners using discarded mobile phones
Write the relevant waste management concept.
(iii) (a) What do you mean by ‘consumer protection’?
(b) Write the relevant certification methods for the following standards.
1. ISO 45001 2. ISO 37001
(iv) Name the state institutions functioning for consumer protection.
(v) Provide two advantages that the following persons can obtain by following consumer protection.
1. Consumer 2. Businessman (5  2 = 10 marks)

*****

Grade 12 (2024) 2023 May - FWC -2- Business Studies II – 1st Term Examination
www.beeon.org
 www.beeon.org

Njrpa ntspf;fs epiyak; njhz;ilkhdhW

Kjyhk; jtizg; guPl;ir - 2023
National Field Work Centre, Thondaimanaru
1st Term Examination - 2023
FWC

Grade :- 12 (2024) Business Studies Marking Scheme

Part – I
01) 3 06) 2 11) 2
02) 4 07) 5 12) 4
03) 3 08) 1 13) 2
04) 3 09) 4 14) 1
05) 1 10) 3 15) 2

g
(15 x 2 = 30 marks)

r
16) a) Product (01 mark)

.o
b) Personal specialization, barter system

n
17) a) Labour, knowledge
b) customer, government

o
18) a) demographic, technological 2x ½ = 01 mark

e
b) strength, weakness 2x ½ = 01 mark

e
19) a) Social responsibility ( 01 mark)

. b
b) fiscal policy ( 01 mark)

20) a) Infrastructure facilities (01 mark)

w
b) Policy making (01 mark)

w
21) i) barter system
ii) Use of money

w
iii) Industrial revolution
iv) Information economy (½x4 = 2 marks)
22) i) Strengths can be identified.
ii) Weaknesses can be identified.
iii) Opportunities can be identified.
1
iv) Threats can be identified. ( x4 = 2 marks)
2

23) i) Providing quality goods and services

ii) Providing goods at right time
iii) Providing discounts
iv) Providing fair prices (½ x 4 = 2 marks)

24) i) Customer
ii) Employees
iii) Owners
iv) Society (½ x 4 = 2 marks)

Grade - 12 (2024) 1st Term – 2023 FWC 1 Business Studies

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 www.beeon.org

25) i) right to acquire basic needs and wants

ii) Right to get compensation
iii) Right to get consumer education
iv) Right to live in a healthy environment (½x4 = 2 marks)

Part - II

01) i) a) cloth (1 mark)

b) 1. Unlimited
2. Diversified
3. Not essential
4. Can be created
5. Can be affected by social changes (2x ½ = 01 mark)
ii) a) 1. Fulfilling human needs and wants
2. Adding value to resources (2x ½ = 01 mark)

g
b) 1. Fulfilling complex needs and wants

r
2. Contributing for employment opportunities (2x ½ = 01 mark)

.o
iii) a. Marketing
Advertising in internet (02 marks)

n
b. Production

o
Designing product

e
Production
c. Human resource

e
Hiring

b
Training employees

.
d. Information management
Obtaining information from internet (4x ½ = 02 marks)

w
w
iv) a. Land
Location of factory (02 marks)

w
b. Labour
Manager - Ragavi
Employees – Trained employees
c. Knowledge
Labour productivity
Knowledge of manager
Samanthi’s knowledge about design
d. Information
Market information
Information about new technology (4x½ = 2 marks)

v)  Owner – Samanthi
 Employees – well trained employees
 Managers – Ragavi
 Business resources – Sewing machines, computer (4x¼ = 2 marks)

Grade - 12 (2024) 1st Term – 2023 FWC 2 Business Studies

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 www.beeon.org

02) i) a)
Goods Services
1. Physical appearance (tangibility)  No physical appearance (no tangibility)
2. Can be stored  Cannot be stored
3. Similarity  No similarity
4. Separability  No separability
(2x ½ = 01 mark)

b) 1. Customer
2. Supplier
3. Competitors
4. Substitute producers
1
5. Potential investors (4x = 01 mark)
4

r g
ii) a. No
b. No

. o
c. Yes
d. Yes (4x½ = 2 marks)

iii) a) a. Natural environment

b. Technological environment

o n (2x ½ = 01 mark)

b) price, inflation, interest rate

e e
b
Gross national production, employment opportunities, cost of living

.
1
Conflict in income distribution, savings, investment (4x4 = 1 mark)

iv) a. Market

w
w
Any condition or situation where purchaser and sellers interrelate to each others.
(1 mark)

w
b. Exchanging surplus production with others’ surplus production is called barter system.
(1 mark)

v) 1. Sustainable economic development

2. Sustainable environment protection
3. Social sustainable development
(2 marks for 3 points, 1 mark for 2 points, ½ mark for 1 point)

03) i) 1. Sustaining in the market

2. Maximizing profit
3. Maximizing sales
4. Expansion of market share
5. Maximizing customer satisfaction
6. Maximizing market price of shares
7. Personal satisfaction
8. Social and public benefits
9. Employee welfare (4x½ = 02 mark)

Grade - 12 (2024) 1st Term – 2023 FWC 3 Business Studies

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 www.beeon.org

ii) 1. Banking services 2. Insurance

3. Transportation 4. Storage
5. Communication (4x½ = 2 marks)

iii) 1. Owner
2. Employees
3. Students
4. Books and stationery suppliers
5. Creditors
6. Status
1
7. Society (parents) (4x4 = 01 mark)
1
(Relevant reasons 4x4 = 01 mark)

iv) 1. Use of local resources

rg
2. Waste management
3. Risk management

.o
4. Environment friendly production (4x½ = 02 marks)

n
v) a) Fiscal policy (1 mark)
b) 1. Current expenses

o
2. Capital expenses (2 x ½ = 01 mark)

04) i)
Strength

e e Weakness

.b
a. Teachers 1. Educational qualification 1. No accountability
2. Teaching skill 2. Poor dedication

w
3. Humanity 3. Less training
(Consider other relevant answers 2 x ½ = 01 mark)

w
w
Strength Weakness
b. Principal 1. Good training, experience 1. Less training, experience
2. Correct decision making 2. Delay in decision making

3. Incorrect decision
(Consider other relevant answers 2 x ½ = 01 mark)

ii) a. Society
b. Employees
c. Customers
d. Society

iii) a) 1. Sustainability of businesses

2. Facing competition well (2 x ½ = 01 mark)
b) 1. Removing footwear and helmet
2. Participating in rituals with discipline
3. Keeping silence
(Consider other relevant answers 2 x ½ = 01 mark)

Grade - 12 (2024) 1st Term – 2023 FWC 4 Business Studies

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 www.beeon.org

iv) 1. Sustainability of business

2. Goodwill of business
3. Credibility of business
4. Customer satisfaction
5. Business objectives can be achieved
6. Employees can be attracted.
7. Influence of pressure groups can be reduced.
8. Competition can be faced.
9. Government incentives and other facilities can be obtained. (4x ½ = 2 marks)

v) 1. Opportunities can be identified.

2. Threats can be identified.
(2 x ½ = 01 mark)

05) i) 1. Business

g
2. Customers

r
3. Employees

o
4. Competitors

.
5. Social culture

n
6. Organizational culture

o
1
7. Implementability (4x 2 = 2 marks)

e
ii) Government objectives can be achieved through business development. Governmnet can obtain tax

e
income through business development. That income can be used for infrastructure facility and other

b
facility. Therefore, the relationship between government and businesses should be developed.

.
(2 marks for complete answer)

w
iii) 1. National or local industries should be protected.
2. Competitiveness of local business will increase.

w
3. Demand for local products will increase. (2 x ½ = 01 mark)

w
iv) 1. Right to select
2. Right to be informed (2x1 = 2 marks)

v) a. Bank interest rate

The interest rate charged by Central Bank on the loans provided to commercial banks in their
liquidity problem as a last resort (01 mark)

b. Open market operations

Purchase and sales government securities by Central Bank (01 mark)

06) i) 1. Formation of quality standards

2. Lab facilities
3. Providing national and international quality certificates
4. Providing training on quality standards, quality control etc.
5. Library facilities
6. System verifying services
7. Providing information (4 x ½ = 02 marks)

Grade - 12 (2024) 1st Term – 2023 FWC 5 Business Studies

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 www.beeon.org

ii) a. Reduce
b. Reuse
c. Recycle
d. Replace (4 x ½ = 02 marks)

iii) a) The legal protection assuring that the consumers get enough satisfaction for the money they paid
is consumer protection. (01 mark)
b) ISO 45001 – Occupational Health and safety management system
ISO 37001 - Anti – bribery management system (2 x ½ = 01 mark)

iv) 1. Consumer Affairs Authority

2. Sri Lanka Standards Institution

r g
3. Department of Measurement Units, Standards and Services

o
4. Central Environment Authority

.
5. Regional Directorate of Health Services

n
6. District Secretariat

o
7. Telecommunication Regulatory commission (4 x ½ = 02 marks)

e
v) a. Consumer

e
1. Consumers can get the goods suitable for the money paid.

b
2. Protection from market malpractices

.
3. Assuring consumer health and protection

w
4. Getting legal protection
5. Creating a relevant environment for consumer living

w
(2 x ½ = 01 mark)

w
b. Business
1. Consume credibility
2. Increase of sales and profit
3. Waste reduction
4. Creating positive business environment
(2 x ½ = 01 mark)

Grade - 12 (2024) 1st Term – 2023 FWC 6 Business Studies

www.beeon.org
 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
Kjyhk; jtiz guPl;ir - 2022
Conducted by Field Work Centre, Thondaimanaru
FWC 1st Term Examination - 2022

tzpff;fy;tp -I Three Hours

32 E I
Business Studies - I Gr. 12 (2023)

Index Number: ………………

Instructions For office use only
 Answer all the questions
 Write your index number in the above blank For question paper – I
 Select the most appropriate answer and write its Question No. Marks
number on the dotted line when
answering questions, No 1 – 15 01 – 15
 Write brief answers for the questions No. 16 - 25 on
16 - 25
the given dotted lines
 Each question is allotted 2 marks Total

Part I

1. ……………………………….. are used to fulfill human needs and wants

1. Goods 2. Services 3. Goods and Services
4. Auxiliary Services 5. Limited resources (……..)

2. The name of the production that includes such as mining and quarrying, mineral resources, industrial
production, construction industry, electricity, gas heat and refrigeration is
1. Agriculture production 2. Industrial production
3. Primary production 4. Secondary production
5. Tertiary production (……..)

3. Following are the statements of five students regarding the ways of the basic classification of business
A – Trade and Business Services
B - Industry and Commerce
C – Industry and Trade
D – Industry and Business Services
E – Trade and Commerce
Who is the student who correctly mentioned the basic types of business classification?
1. A 2. B 3. C 4. D 5. E (……..)

4. Some of the business functions are given in the column “X” and the examples suitable for these
functions are given in column “Y”
X Y
1. Administration A – quality control
2. Production B – Advertisement
3. Marketing C – Preparing the files of employees
4. Finance D – Employees training
5. Human resources E – Investing Capital

Grade- 12 (2023) 1st term – 2022 F.W.C 1 Business Studies - I

 Select the correct answer that indicates the correct combination between the business fictions that are
shown in column “X” and the suitable examples in column “Y”
1. A, C, D, E, B 2. B, C, A, E, D
3. C, A, B, D, E 4. C, A, B, E, D
5. D, A, E, B, C (……..)

5. Statement A – When trade and auxiliary services are combined it is considered as commerce
Statement B – Tertiary production can be considered equal to business
From the above two statement,
1. Both statements are wrong
2. Statement “A” is correct, statement “B” is wrong
3. Statement “A” is wrong, statement “B” is correct
4. There is no relationship between the two statements
5. A and B are correct and A is described through B (……..)

6. The following are the statements of five students in connection with the changes taking place in the
present business environment
L – Generally it is compulsory to get the Covid 19 vaccination by all those who are above 60
years of age.
M – Internet services are developing on a huge scale during the Covid 19 pandemic
N – At present all the temple festivals and social events are prohibited due to the Covid 19
pandemic situation
O – Productions are blocked due to not getting supplies of raw materials through the suppliers
due to the Covid 19 pandemic
P – In the past few months the prices of goods and services are continuously rising
Which of the above students’ statement can’t be considered as a statement relevant to the environment
1. L 2. M 3. N 4. O 5. P (……..)

7. Business are fulfilling social responsibilities by involving in social welfare services towards the
1. Government 2. Society 3. Nation
4. Customers 5. Owners (……..)

8. The government interferes in business in several ways in connection with the successful running of
business and the government expects many things from the business. According to this the examples for
the ways of government interference is shown in the column “X” and the things expected by the
government are shown in column “Y”
X Y
A – Providing basic infrastructure facilities 1. Providing good quality services
B – Purchasing goods and services 2. Investing by more businesses
C – Involving similar business activities 3. Preparing the entry of unwanted businesses
D – Collecting production taxes and corporate taxes 4. Motivating sales and profits

Grade- 12 (2023) 1st term – 2022 F.W.C 2 Business Studies - I

 Select the correct combination between “X” and “Y”
1. A-1, B-4, C-2, D-3
2. A-3, B-1, C-4, D-2
3. A-4, B-3, C-2, D-1
4. A-1, B-2, C-3, D-4
5. A-2, B-4, C-1, D-3 (……..)

9. The following table provides the 4R concept of waste management and examples related to them.
Concepts Examples
(i) Recycle A – Reading letters on the computer screen instead of printing.
(ii) Replace B – Use of waste paper to make short notes.
(iii) Reduce C - Farming fishery resources by a business that engages in fishing industry.
(iv) Reuse D – Producing organic fertilizer using waste fruits and vegetables.
Based on the order of the concepts stated above, which option correctly matches with the examples?
1. A, D, B, C 2. B, C, A, D 3. B, D, C, A
4 D, C, A, B 5. D, A, C, B (……..)

10. The main pillars of sustainable development is shown in column “X” and the things that businesses
should concentrate on, shown in column “Y”
X Y
A – Economic sustainable development 1. Maintaining human capital
2. Risk Management
B – Environment sustainable development 3. Full employment
4. Minimizing poverty
C – Social sustainable development 5. Production and consumption
6. Natural and Cultural Heritages

Select the correct combination between “X” and “Y”

1. A – 1,4 B – 5,6 C – 2,3
2. A – 3,5 B – 2,6 C – 1,4
3. A – 2,3 B – 1,5 C – 4,6
4. A – 4,6 B – 3,5 C – 1,2
5. A – 5,6 B – 1,4 C – 2,3 (……..)

11. In tax computation when a company sells a fixed asset the amount received in excess of the cost is
considered as a
1. Profit
2. Revenue
3. Capital reserve
4. Revenue gain
5. Capital gain (……..)

Grade- 12 (2023) 1st term – 2022 F.W.C 3 Business Studies - I

12. Some of the consumer rights and responsibilities are given below

A – Getting information
B – Social concern
C – Continuous participation
D – Choose
E – Fulfilling basic needs
F – Cooperation
G – Get consumer education
H – Environmental
concern
From the above, which of the following group includes only the consumer rights?
1. A, D, E, G 2. A, B, E, G 3. B, C, F, H
4. B, C, D, E 5. E, F, G, H (……..)

13. The main objective of the fiscal policy of the government is

1. To maintain the bank interest rate in a stable manner
2. To maintain the stability of price level of the national economy
3. To carry out government services continuously
4. To control the amount of money in use in the economy
5. To maintain the stability of the economy of country (……..)

14. Which of the following organization is established to protect consumers against unfair trade practices
and to respect the rights of the consumers
1. Central Environment Authority Board
2. Sri Lanka Environment Authority Board
3. Consumers Affairs Authority Board
4. Measurement units, Standards and service Department
5. Telecommunication Organizing Commission (……..)

15. What is the important factor that should be considered by consumers when making decisions
regarding the purchase of a good?
1. Needs and wants
2. Price and quality
3. Safety and durability
4. Social status and behavior
5. Income and attractiveness (……..)

Grade- 12 (2023) 1st term – 2022 F.W.C 4 Business Studies - I

 Answer the following questions No 16 to 20 by filling in the blanks with suitable word/words

16. a) Anything offered to the market which fulfills human needs and wants are known as

………………………… and the situation for the exchange of this is known as ………………………

b) The goods that are produced and distributed by the business are categorized into two types such as

…………………………………. And ………………………………

17. a) When calculating the “added value” of products ……………………………… value and

…………………………….. Value will be taken into consideration.

b) The resources that are obtained from ………………………….. productions are used as inputs in

………………………………….. productions

18. a) Introducing innovations are considered as …………………………… sustainable development

while wastage management is considered as ……………………………… sustainable

development.

b) …………………………………. and …………………………….. are the two types of stabilities

of an economic good of a government.

19. a) While production tax and customs duties are considered as ……………………………… taxes,

and corporate tax and capital gain tax are considered as ……………………………. Taxes

b) In open market operations the Central bank of Sri Lanka sells the securities such as

…………….......................... and ……………………….. through the commercial banks to the

public.

20. a) When the retail price of a product is erased and changed on its label is considered as over rule of

the consumer right of ……………………………. and the pesticides manufacturers publishing

warning regarding usage is considered as the consumer right of ………………………………..

b) While ……………………………. Foundation implements a quality mark in Sri Lanka through this

…………………………… issues quality certificates to the producer in Sri Lanka

 Answer the questions No 21 – 25 by writing the suitable answers in the spaces given

21. Name four resources required for a business

1. ………………………………………….………………………………………………………………
2. ………………………………………….………………………………………………………………
3. ………………………………………….………………………………………………………………
4. ………………………………………….………………………………………………………………

Grade- 12 (2023) 1st term – 2022 F.W.C 5 Business Studies - I

22. Mention the four stages of business evolution in the correct order
1.. ………………………………………………………………………………………………………
2. ………………………………………………………………………………………………………
3. ………………………………………………………………………………………………………
4. ………………………………………………………………………………………………………

23. How can customers as one of the task environment factors pose a threat to the business? Give four
examples?
1.. ………………………………………………………………………………………………………
2. ………………………………………………………………………………………………………
3. ………………………………………………………………………………………………………
4. ………………………………………………………………………………………………………

24. Give four impacts of the fiscal policy

1.. ………………………………………………………………………………………………………
2. ………………………………………………………………………………………………………
3. ………………………………………………………………………………………………………
4. ………………………………………………………………………………………………………

25. Write the name of the following signs that are used in wastage management.

(i) (ii)

……………………………………….… …………………………………………….

(iii) (iv)

…………………………………....…… ……………………………………………

Grade- 12 (2023) 1st term – 2022 F.W.C 6 Business Studies - I

 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
Kjyhk; jtiz guPl;ir - 2022
Conducted by Field Work Centre, Thondaimanaru
FWC 1st Term Examination - 2022

tzpff;fy;tp - II Three Hours

32 E II
Business Studies - II Gr. 12 (2023)

Part ll
Instructions
 Answer altogether five (5) questions, selecting at least two (2) question from each part.
Part l

01. With the purpose of encouraging home gardening as a solution for the present food crisis in the country,
Agro Products Company Ltd., sells vegetable seeds for short term plants and fertilizers and provides
consultant services as an after sales service. The tasks has been allocated among the workers on a
regional basis, as a large number of employees work in this company.
I. Classify the outputs of the company according to tangibility, and give examples for them.
II. Give four forces that can influence the above business activities.
III. a) Mention any two after sale services that are provided by the above-mentioned company to its
customers.
b) Give two reasons, why the above-mentioned company should earn profit?
IV. “The tasks are divided among the employees” What is the business concept meant by you from
this, and give two advantages the company can obtain from it.
V. Give four social and economic importance obtained by a society through an establishment of the
specific business. (5 x 2 = 10 Marks)

02. This is according to Mrs. Archana, who produces beverage from natural fruits due to the current summer
weather. “There is an increased demand for my products at present. However due to the increase in the
prices of inputs, I have to increase the price of beverages as well. Further I have to increase my
investment to acquire modern manufacturing equipment. The arrival of foreign beverages into the
market and the rules and regulations of the government are becoming a threat to the business”
I. Mention four macro environmental forces that influence the above business of
Mrs. Archana, with examples.
II. Mention four threats that have been created by the external environment, in the above business.
III. Mention two stakeholders of the above business and give two reasons for the interest of each
stakeholders in the business.
IV. Give examples, how Mr. Archana could be use the two concepts such as Reuse and Replace in
waste management.
V. Give four factors that should be considered by Mr. Archana, when formulating a code of ethics.
(5 x 2 = 10 Marks)

03. “It is a necessity, that there should be a mutual relationship between the government and businesses in
every country”
I. “The government decides to increase the import tax according to the fiscal policy” Mention two
advantages and two disadvantages gained by the domestic businesses through this.
II. If the government decides the minimum salary for the employees to fulfill the increasing cost of
living, mention four advantages that can be gained by the employees.

Grade- 12 (2023) 1st term – 2022 F.W.C 1 Business Studies - II

 III. Mention any four ways for the importance of assistance and guidance that businesses receive
from the government.
IV. Give four importance of mutual relationship between the government and businesses.
V. Show all the types of government fiscal policy in a flow chart.
(5 x 2 = 10 Marks)

Part II
04.
I. Write the suitable certified systems for the following standards.
a) ISO 9001
b) ISO 14 000
c) ISO 22 000
d) ISO 26 000
II. Give two differences between income tax and value added tax, by comparing them.
III. Give any two strategies, that a government could use to attract foreign investors.
IV. A business man Akash, has started a business of collecting and bottling cow’s milk with the
purpose of reducing the current shortage of dairy products. Briefly explain two ways in which
he can contribute in ensuring consumer protection?
V. Mention four business functions that take place in the above business of Akash.
(5 x 2 = 10 Marks)

05.
I. For planning, it is very important to understand the business environment. Fill in the blanks in
the following statements by using the strengths, weaknesses, opportunity and threats that can be
seen in the SWOT model in a proper way.
a) Establishment of power stations in the North and East with the help of wind mills.
………………………….
b) A large number of businesses are planned to establish new business ventures, where your
business is located. ………………………….
c) There are 67% of employees in institutions who have not get the Covid 19 vaccination up to
now. ………………………….
d) There is a strongly established company trade mark. ………………………….
II. Give the four consumer rights that are presented by the Consumer International.
III. Give four main changes that occurred in the business sector due to the industrial revolution.
IV. “At present the market place and the market space play a main roll in fulfilling human needs and
wants” According to this, give two similarities and two differences between market place and
the market space.
V. Credit control, as a monetary policy instrument of the government, occurs in two ways. Mention
those two ways.
(5 x 2 = 10 Marks)

06.
I. “Business may have several different goals” Give four different goals that a business could
have.
II. Give four examples for the non – tax income of the government.
III. Mention any four consumer responsibilities.
IV. Give two reasons for the increase in the importance of consumer protection at present.
V. Give four ways in which a mindful consumer acts in a market.
(5 x 2 = 10 Marks)

Grade- 12 (2023) 1st term – 2022 F.W.C 2 Business Studies - II

 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
Kjyhk; jtizg; guPl;ir - 2022
Conducted by Field Work Centre, Thondaimanaru
FWC 1rd Term Term Examination - 2022
juk; :- 12 (2023) BUSINESS STUDIES Gs;spj;jpl;lk;

PART 1

Question No. Answer Question No. Answer Question No. Answer

1 3 6 4 11 5
2 2 7 2 12 1
3 2 8 5 13 3
4 4 9 4 14 3
5 5 10 2 15 2
(15 x 2 = 30 marks)
16. a) product (1/2 mark)
market (1/2 mark)
b) consumer goods (1/2 mark)
industrial goods/business goods (1/2 mark)
17. a) input (1/2 mark)
output (1/2 mark)
b) primary (1/2 mark)
secondary (1/2 mark)
18. a) economic (1/2 mark)
environment (1/2 mark)
b) internal (1/2 mark)
external (1/2 mark)
19. a) indirect (1/2 mark)
direct (1/2 mark)
b) treasury bills (1/2 mark)
treasury bonds (1/2 mark)
20. a) to be informed (1/2 mark)
To safety (1/2 mark)
b) Sri Lanka Standards Institution (1/2 mark)
SLS / Sri Lankas standards (1/2 mark)
21. Land, Labour, Capital, Entrepreneurship
Information, Time, Knowledge
Or
Human resource, Financial resource, informational resource
Physical resource, Entrepreneurship (4x1/2=2)
22. 1. Barter system
2.Use of money
3.Industrial revolution
4. Information era (4x1/2=2)

Grade - 12 (2022) 1st term – 2022 F.W.C 1 Marking Scheme

23. 1. Decrease in the income level of customers
2. Decrease in the number of customers
3. Increase in the knowledge regarding the consumer goods
4. less cost to reach other businesses
5. There are so many substitute goods (4x1/2=2)
24. 1. By imposing taxes government income may be increased.
2. By imposing indirect taxes, price of goods and services may be increased
3. By imposing indirect taxes, the prices of goods and services may be increased.
4. By imposing direct taxes, the inequality of income distribution may be reduced.
5. Establishment of unwanted businesses may be prevented.
6. Establishment of some businesses may be motivated (4x1/2=2)
25. 1. Reduce 2. Reuse 3. Recycle 4. Replace (4x1/2=2)

Part ll
01. (1)
 Goods: - seeds, fertilizers
 Services: - Consultancy services, After sales services
(2x1/2=1 mark for point)
(2) (2x1/2=1 mark for examples)
 Owners
 Employees
 Customers
 Natural Environment (4x1/2=2 marks)
(3) a) Advices, Market opportunities (2x1/2=1 marks)
b)
 For the development of business / for reinvestment / for the long-term existence of the
business
 In order to give a return to the investor
 For employees welfare (2x1/2=1 marks)
(4) Division of labour (1 mark)
Advantages
 Specialization occurs
 Increase production
 Cost per unit will decrease
 Innovations due to continuous production (2x1/2=1 marks)
(5)
 Will be the solution to the local food shortage
 Creating new job opportunities
 Creating new income opportunities
 New market development
 Minimization of inequalities of income (4x1/2=2 marks)

02. (1)
 Natural Environment: - Summer weather / Natural fruits
 Economic Environment: - Increase in the price of inputs
 Technological Environment: - Modern manufacturing equipment
 Global Environment: - Arrival of foreign beverages

Grade - 12 (2022) 1st term – 2022 F.W.C 2 Marking Scheme

  Legal Environment: - Rules and regulations of the government
(4x1/2=2 marks for the points with examples)
(2)
 Increase in the price of inputs
 Modern technological changes
 Arrival of substitute goods(beverages) in the market
 Rules and regulations of the government (4x1/2=2 marks)
(3) Owners
 To ensure the profit for the invested capital
 To know regarding the development of business
 To know the market share (2x1/2=1 marks)
Customers
 To receive quality goods and services.
 To ensure the existence of the business (2x1/2=1 marks)
(4) Reuse: - Not using non-degradable polythene for packing (2x1=2 marks)
Replace: - Producing fruits (2x1=2 marks)
(any other suitable answers)

(5)
 Business
 Customers
 Employees
 Competition
 Socio culture
 Organizational culture
 Practicableness (4x1/2=2 marks)

03. (1) Advantages: -

 National / local industries can be protected.
 Increase in ability to compete for the local businesses
 Increase in demand for the local products (2x1/2=1 marks)
Disadvantages: -
 Increase in cost due to the increase in the import of specific raw materials
 Decrease in sales income / sales turnover (2x1/2=1 marks)
(2)
 Can ensure the receiving of the relevant salary / Can fulfil legal requirements
 It is a basis of receiving the relevant salary
 Can prepare a proper payroll
 Making equal payroll for the same kind of work
 Can get protection from job exploitation (4x1/2=2 marks)
(3)
 To register the business
 To obtain legal and formal assistance to carry on business activities continuously
 To increase the knowledge regarding business
 Receiving the acceptance of the government and public
 To identify new market opportunities
 To identify new business opportunities
 The goodwill of the business is being improved
 Contributing to the development of the country (4x1/2=2 marks)
(4)
 Through the development of businesses, the goals of the government will be fulfilled
 Due to the development of businesses, the government can receive a tax income
 This tax income can be used for the development of infrastructure and other functions.

Grade - 12 (2022) 1st term – 2022 F.W.C 3 Marking Scheme

  Due to the development of infrastructure, more businesses will be established
(4x1/2=2 marks)
(5)

Fiscal Policy

Government Income Government Expenditure

Tax Non-Tax Recurrent Capital Expenditure

Income Income Expenditure
1. Profits and
Direct Tax Indirect Dividends
Income Tax 2. Charges and
Fees
3. Interest Income
4. Other revenues

04. (1)
 ISO 9001 – Quality Management
 ISO 14001 – Environment Management
 ISO 22000 – Food safety Management
ISO 26000 – Guidance Regarding Social Responsibilities (4x1/2=2 marks)

(2)
Income Tax Value Added Tax (VAT)
 Direct tax  Indirect tax
 Imposed on income  Imposed on goods and service
 Cannot be transferred to another  Can be transferred to another party
party  Fixed
 Tax ratio is increased when income
is increased
(2x1=2 marks)
(3)
 Making relaxation in rules and regulations
 Making relaxation in foreign currency exchange policy
 Providing infrastructure facilities and developing them
 Establishing free trade zones
 Using tax holidays and tax incentives
 Making facilities for the development of foreign investment
 Ensuring international relationships through international policies (2x1=2 marks)

(4)
 Designing the product, as to avoid the frauds regarding bottling milk
 Obtaining SLS certification, if required
 Providing required information regarding retailers, suppliers and warehouse.

Grade - 12 (2022) 1st term – 2022 F.W.C 4 Marking Scheme

  Pay attention on the cleanliness regarding the surroundings of the farms from where the
milk is receiving
 Making awareness regarding consumers (2x1=2 marks)

(5)
 Administration
 Production,
 Marketing
 Financial activities
 Human resource activities,
 Research and development
 Information system (4x1/2=2 marks)

05. (1)
a. Opportunity (O)
b. Threat (T)
c. Weakness (W)
d. Strength (S) (4x1/2=2 marks)
(2)
 Right to satisfaction of basic needs
 Right to redress
 Right to consumer education
 Right to live in a healthy environment (4x1/2=2 marks)
(3)
 Cottage industries converted into large scale industries
 Trade was expanded
 Development in auxiliary services
 More job opportunities
 Introduction to mechanization
 Urbanization (4x1/2=2 marks)
(4)
Market place Market space
 Physical location will be found  No physical location found
 Business occurs through electronic  Business does not occur through
 Narrow market electronic
 Wide market
(2x1-2 marks)
(5)
 Quantitative credit control
 Qualitative credit control (2x1-2 marks)

06. (1)
 Survival in the market.
 Profit maximization.
 Sales maximization.
 Increasing market share.
 Increasing consumer satisfaction.
 Maximizing the market value of shares.
 Personal satisfaction of businessmen.

Grade - 12 (2022) 1st term – 2022 F.W.C 5 Marking Scheme

  Social and community welfare.
 Employee welfare. (4x1/2=2 marks)
(2)
 Profits and Dividends
 Charges and Fees
 Interest Income
 Other revenues (4x1/2=2 marks)
(3)
 Critical awareness
 Active participation.
 Social concern
 Environmental awareness
 Cooperation

(4)
 The abundance of goods and services in the market.
 Since the increased competition, there is more space for malpractices in the market.
 Market has become complex with the free trade.
 The deterioration of society and culture that can happen with globalization.
 The need for making consumers aware to avoid environmental pollution (2x1=2)
(5)
 Attempts to select products with a value for the money he pays and products with higher
standards.
 Takes steps to inform the relevant authorities when the consumer rights are broken and
business malpractices are taken place.
 Protecting the environment, he lives in
 Being concerned about society
 Acting cooperatively (4x1/2=2 marks)

Grade - 12 (2022) 1st term – 2022 F.W.C 6 Marking Scheme

 Term Examination G.C.E. (A/L) – 2022
conducted by Field Work Center, Thondaimanaru
FWC

Grade 12 (A/L) 2023 Business Studies I Time: 3 hours & 10 Min.

Instructions:
Index Number:………………..
• Answer all the questions on this question paper itself.
• Write your Index Number clearly in the space provided above. For examiner’s use only
• Select the correct answers for the questions No. 1 – 15 and write Q.No. Marks
its number on the dotted lines given. 1 – 15
• Write short answers for the questions No. 16 – 25 on the dotted 16 – 25
lines given.
• Each question carries two marks. TOTAL
01. Through production,
(1) consumers’ needs are fulfilled. (2) consumers’ wants are fulfilled.
(3) needs and wants are fulfilled. (4) resources are used to fulfill consumers’ needs.
(5) consumers’ standard of living would increase by increasing consumers’ income. (……..)

02. Characteristics of business and business activities are given below.

A – Fulfillment of needs and wants
B – Motivated by profit
C – Existence risk
D – Adding value to resources
E – An economic activity
(1) A, B, C (2) B, C, E (3) B, G, E
(4) A, D, E (5) B, C, D

03. The first stage of business evolution is,

(1) personal specialization (2) industrial revolution (3) barter system
(4) direct production (5) use of money

04. Production sectors and their contents are given in column X and Y respectively in the following table.
X Y
A – Agricultural sector 1. Livestock production
B – Industrial sector 2. Frostry works
C – Service sector 3. Waste management
4. Information and communication
5. Water treatment and supply
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6. Dwelling and property business

Select the answer which correctly matches the production sectors in the column X and their contents in
column Y.
(1) A – 1, 3 B – 2, 5 C - 4, 6 (2) A – 1, 3 B – 2, 4 C – 5, 6
(3) A - 1, 2 B – 3, 5 C – 4, 6 (4) A – 1, 4 B – 2, 3 C – 5, 6
(5) A – 1, 3 B – 2, 6 C – 4, 5

Grade 12 (2023) - FWC

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-1- Business Studies I – 2nd Term Examination 2022
05. There is a common process for any business. In this process, input is converted into output. Which of the
following converts input into output?
(1) Input Production Output (2) Input Conversion process Output
(3) Input Business functions Output (4) Input Management process Output
(5) Input Business process Output

06. Select the answer which correctly matches the stakeholder, relevant environment for the stakeholder and
the reasons for their interest.
Stakeholder Business environment Reasons for the interest
1. Owner (a) Task environment A – Quality goods and services
2. Customer (b) Macro environment B – Business development
3. Government (c) Internal environment C – Tax and law enactment

(1) 1> (c), B / 2> (a)> A / 3> (b)> C (2) 1> (b)> A / 2> (c)> C / 3> (a)> B
(3) 1> (a)> C / 2> (a)> A / 3> (c)> B (4) 1> (a)> A / 2> (c)> B / 3> (b)> C
(5) 1> (c)> B / 2> (a)> C / 3 (b)> C

07. Some social responsibilities to be fulfilled by a business are as follows.

A – Equality B – Green production C – Health facilities
D – Job security E – Employment opportunities F – Efficient management
Select the answer which contains social responsibilities to be fulfilled in favour of employees.
(1) A, C, E (2) A, B, C (3) C, E, F
(4) A, C, D (5) A, C, F

08. What is expected from protecting and saving the resources for future generation and protecting global
environment?
(1) Sustainable development (2) Economic sustainable development
(3) Social sustainable development (4) Human sustainable development
(5) Environment sustainable protection

09. Economic stability contains internal and external price stability. In this context, internal price stability
means,
(1) maintaining price level in stable level (2) maintaining inflation in stable level
(3) maintaining interest rate at stable level (4) maintaining exchange rate in stable level
(5) maintaining tax policy of government in stable level

10. How many sustainable development goals are there?

(1) 3 (2) 5 (3) 10 (4) 12 (5) 17

11. Which of the following is a consumer liability?

(1) To be informed (2) To get compensation (3) To select goods
(4) To get knowledge (5) Self protection
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12. SLS mark in a product means,

(1) quality of product
(2) price of product
(3) product is produced in accordance with standards.
(4) consumer opinion on the product
(5) product is tested technically.

Grade 12 (2023) - FWC

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-2- Business Studies I – 2nd Term Examination 2022
13. Business organizations are given in column X and examples in column Y in the following tables.
X Y
1. State corporation A – Sri Lankan Airlines
2. State department B – Department of Education
3. State companies C – Lanka Phosphate Ltd.
D – University Grants Commission
E – Sri Lanka Port Authority
F – Department of Health
G – Ceylon Electricity Board

Select the the answer which correctly matches column X and column Y.
(1) 1-DEG, 2-BF, 3-AC (2) 1-EB, 2-ADG, 3-FC (3) 1-AB, 2-FA, 3-CDF
(4) 1-AB, 2-DC, 3-EFG (5) 1-BDF, 2-AC, 3-EF

14. Main objective of green entrepreneur is,

(1) to upgrade standard of living (2) to expand the market
(3) to introduce new product and services (4) to use wasted resources
(5) to generate positive impact on natural environment

15. The following are some features and functions of money.

A – General acceptance B – Medium of exchange
C – Difficult to create counterfeit D – Store of value
E – Easy to carry F – Divisibility
G – Standard of deferred payment
Out of above, the characteristics of money are,
(1) A, B, C, D (2) B, C, F, G (3) A, C, E, F
(4) B, C, F, G (5) A, C, E, F

● Fill the blanks in the questions 16 – 30 with relevant words.

16. (a) …………………………………. originated through direct production. Trade originated due to
…………………………………
(b) Commerce is the combination of ………………………………… and …………………………….

17. (a) Business organizations face ……………………………. to earn profit and it is called as
…………………………………
(b) ………………………………. developed due to ………………………….. occurred in 18th century.

18. (a) The business environment which can be controlled by business is called as …………………………….
and the business environment which affects the cost of a business is called as
…………………………………
(b) Wastes generated in ………………………… and in ………………………. are a great global
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challenge at present.
19. (a) The intervention of government on businesses takes place through central, ……………………………..
and ………………………………. levels of government.
(b) …………………………………. means the equal distribution of gross production of the country among
the total population of the country. Further, ………………………… stabiluty occurs by controlling
inflation in the economy.

Grade 12 (2023) - FWC

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-3- Business Studies I – 2nd Term Examination 2022
20. (a) A company started without share capital is called ……………………………………… and the
company prohibited to issue the shares to public is called as ……………………………………………..
(b) Legal personality of a company is created through company act and through …………………………....

● Write the relevant answers for the questions 21 – 25.

21. Write the four evolutionary stages of business in order.
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..

22. Provide four circumstances where suppliers are opportunities for a business.
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..

23. State four ways of government’s invention on the businesses.

………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..

24. Provide four consumer rights declared by Consumers International.

………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..

25. Write four characteristics of businesses under local authorities.

………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..
………………………………………………………………………………………………………………..

(25 2 = 50 marks)

*****
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Grade 12 (2023) - FWC

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-4- Business Studies I – 2nd Term Examination 2022
 2nd Term Examination G.C.E. (A/L) – 2022
conducted by Field Work Center
FWC

Grade 12 (A/L) 2023 Business Studies II

Instructions:
• Answer five questions selecting at least two questions from each part.

Part I
01. (i) Explain the relationship between the terms ‘Business’ and ‘Commerce’.
(ii) Describe needs and wants with examples.
(iii) ‘Adding value to resources’ is one of the main activities of business. Explain.
(iv) State four ways through which a business contributes for economic existence.
(v) Write the evolutionary stages of money from barter system up to now, in order.
(5 2 = 10 marks)
02. (i) Explain the relationship between e-commerce and e-business.
(ii) State four functions of a business.
(iii) Explain with examples the difference between direct production and indirect production.
(iv) Provide four differences between goods and services.
(v) “Commerce is wider than trade. However, without trade, commerce cannot take place.” Explain.
(5 2 = 10 marks)
03. (i) State four task environment forces.
(ii) State two stakeholders of a business and mention two reasons for their interest on the business.
(iii) Explain citing example two impacts of macro environment on businesses through affecting task
environment.
(iv) State four factors who give pressure on the stakeholders of a business and society.
(v) Provide four advantages of fulfilling social responsibilities. (5 2 = 10 marks)

Part II
04. (i) What is meant by sustainable development?
(ii) State four matters to be considered by business to achieve sustainable environment protection.
(iii) State four waste management concepts.
(iv) Provide four ethical conducts to be followed by you (students) at school.
(v) State the definition for social responsibility provided by Philippines. (5 2 = 10 marks)

05. (i) Provide four reasons for the importance of consumer protection at present.
(ii) State two methods of standard implementation by Sri Lanka Standard Institution in relation to
international trade.
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(iii) Write the economic aims of government.

(iv) Give two examples for quantitative credit control activities.
(v) Sri Lankan government provides the following facilities to students.
(a) Uniforms (b) Text books
(c) School building (d) Waste disposal
Under which government level are the above facilities implemented? (5 2 = 10 marks)

Grade 12 (2023) 2022 November - FWC

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-1- Business Studies II – 3rd Term Examination
06. (i) Some statements related to the skills of entrepreneurs are given below. Name the relevant
entrepreneurial skill.
A – Maintaining good relationship between internal and external parties
B – Maintaining good relationship to accomplish objectives
C – Having planning, organizing, leading and controlling skills
D – Leading and motivation to accomplish the tasks using subordinates
(ii) Assume that you are going to start a small grocery shop. State four factors to be considered in starting
and conducting the business.
(iii) Some financial institutions of Sri Lanka are given below.
1. Central Bank of Sri Lanka
2. Employee Provident Fund
3. Venture Capital Companies
4. Co-operative Rural Bank
Classify the above financial institutions under the following headings.
A. Banking sector B. Other deposit taking financial institutions
C. Specialized financial institutions D. Contractual savings institutions
(iv) All functions performed by legal tender are not performed by near money. Explain.
(v) Write two functions which differentiate Licensed Commercial Bank from Licensed Specialized Bank.
(5 2 = 10 marks)

*****

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Grade 12 (2023) 2022 November - FWC

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-2- Business Studies II – 3rd Term Examination
 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
,uz;lhk; jtizg; guPl;ir - 2022
Conducted by Field Work Centre, Thondaimanaru
2nd Term Examination - 2022
FWC

Grade :- 12 (2023) Business Studies Marking Scheme

Part – I
01) 3 06) 1 11) 4
02) 2 07) 4 12) 3
03) 3 08) 5 13) 1
04) 3 09) 1 14) 5
05) 3 10) 5 15) 5
(15 x 2 = 30 marks)
16) a) Personal specialization
Barter system 2x ½ = 01 mark
e) Trade
Supportive services 2x ½ = 01 mark
17) a) Certain
risk 2x ½ = 01 mark
b) Industrial revolution
Trade 2x ½ = 01 mark
18) a) Internal environment
Macro environment 2x ½ = 01 mark
b) Production
Consumption 2x ½ = 01 mark
19) a) Provincial council
Local authority 2x ½ = 01 mark
b) Fair income distribution
Internal price 2x ½ = 01 mark
20) a) limited by guarantee
Private limited company 2x ½= 01 mark
b) Articles of association 01 mark

21) i) Barter system

ii) Use of money
iii) Industrial revolution
iv) Information technology (½x4 = 2 marks)

22) i) Providing quality products

ii) Providing goods at right time
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iii) Providing discounts

1
iv) Fair price (2 x4 = 2 marks)

23) i) Providing infrastructure facilities

ii) Acting as a competitor
iii) Acting as a customer

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1 Business Studies
 iv) Policy maker
v) Legal formation
vi) Tax agent (½x4 = 2 marks)

24) i) The right to acquire basic needs

ii) The right to get compensation
iii) The right to get consumer education
iv) The right to live in a healthy environment
(½x4 = 2 marks)

25) i) Conducting under local authority

ii) Ownership under relevant local authority
iii) Funded by local and central government
iv) Administered by local authority officers (½x4 = 2 marks)

Part - II

01) i)  Any economic activity with profit motive or non-profit motive to fulfill human needs and wants is
called as needs.
Business = Commerce + Industry
 All activities up to making goods available to consumers is called commerce.
Commerce = Trade + Supportive services
 Commerce is a part of business. (02 marks for complete answer)

ii) Needs:
Basic human requirements to be fulfilled physically and mentally
Example: food, cloth, shelter, education, health, wants
Various methods fulfilling human needs are called wants.
Example: Food – bread, rice
Cloth – frock, saree
Shelter – huts, storied building (To name 01 mark)
(For examples, 1 mark)

iii) The value increase by changing the shape of resources in the production of goods and services is called
as value addition. (02 marks)

iv)  satisfying changing needs and wants

 Innovation
 Employment opportunities
 National economic development (4x½ = 2 mark)

v)  Use of commodities
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 Use of metal
 Use of metal coins
 Use of currency notes
 Use of bank money (Should be in order)
 Use of e-money (4x¼ = 2 marks)

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2 Business Studies
 02. i) Electronic commerce:
Purchase and sales of goods and services through network is e-commerce.

Electronic business:
Carrying out all business activities through network is called as e business.
(02 marks)
ii) - Production
- Finance
- Marketing
- Administration
- Human resource
- Research and development
- Management information system
(4x½ = 2 mark)

iii) Direct production

Producing what he / she wants to fulfill his / her self-need.
Example: home gardening
Indirect production
Producing for market needs
Example: Selling vegetables to retail shops from agricultural activities.

iv)
Goods Services
1. Physical existence No physical existence
2. Can be stored / Imperishability Cannot be stored / Perishability
3. Uniformity Different person to person
4. Separability No separability
(4x ½ = 2 marks)

v) Purchasing and selling of goods and services are called trade. But commerce includes trade and
supportive services. Commerce is wider than trade. Therefore, commerce cannot take place without
trade. (2 marks for complete explanation)
03. i) 1. Customers
2. Suppliers
3. Competitors
4. Substitute producers
5. Potential investors
(4x½ = 02 marks)
ii)  Owners - Profit on investment
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- Business expansion
 Customers – Quality goods and services
- Long term existence
(Provide marks according to other stakeholders and the reasons)
(4x½= 2 marks)

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3 Business Studies
 iii)  Increase in demand for goods and services by increasing consumers’ income due to increase in
salary level
 Due to increase in the prices of goods and services, the prices of goods and services also will
increase.
(Consider the other examples provided by the students.)
(To mention with examples, 2x1= 2 marks)
iv)  Competition
 Globalization
 E-business
 Environment pollution
(4x1/2 = 2 marks)
v)  Continuity of business
 Increase of business image
 Credibility of business will increase.
 Consumers can be satisfied.
 Business goals and objectives can be achieved.
(4x½ = 2 marks)
04. i) Fulfilling human needs and wants of present people without affecting the right of future generation to
consumer the resources is called as sustainable development. (2 marks)

ii)  Use of resources

 Raw material and waste management
 Risk management
 Protection of natural cultural rights (2x 1 = 2 marks)

iii)  Recycle
- Reuse
- Reduce
- Replace (4x1/2 = 2 marks)
iv) Obeying teachers
- Participating in morning prayer
- Protecting school properties
- Respecting other students
- Following school culture (4x1/2 = 2 mark)

v) “Giving back to society is social responsibilities.” (02 Gs;spfs;)

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05. i)  Market expansion

 Increase of competion
 Globalization
 Avoiding environment pollution
 Free trade (4x ½ = 2 marks)

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4 Business Studies
 ii)  Export test
- Import test
- Food test for export (2x1= 2 marks)

iii)  Economic growth and development

- Full employment
- Fair income distribution
- Economic sustainability (4x 1/2 = 2 marks)

iv)  Determining the minimum ratio between capital and assets of commercial banks
- Determining minimum deposit for letter of credit (2x1 = 2 marks)
v) a) Central government
b) Central government
c) Provincial council
d) Local authority institutions (4x1/2 = 2 marks)

06. i) A. Interpersonal relationship

B. Communication skill
C. Basic management skill
D. Leadership skill (4x1/2 = 2 marks)

ii) 1. Understanding and evaluating personal skill and competency

2. Understanding initial capital, capital requirement
3. Understanding the method of business organization
4. Method of business organization and legal procedure
5. Competition (4x ½ = 2 marks)

iii) A. Banking sector – Central Bank of Sri Lanka

B. Other deposit taking financial institution – Co-operative Rural Bank
C. Special financial institutions – Venture Capital Companies
D. Contractual Savings Institutions – Employee Trust Fund (4 x ½ = 2 marks)

iv) Functions of legal tender are as follows.

1. Medium of exchange
2. Measure of value
3. Store of value
4. Standard of deferred payment but near money functions as only standard of deferred payment
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(2 marks for complete answer)

(v) 1. Maintaining current account
2. Involvement in foreign exchange (2x1= 2 marks)

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5 Business Studies
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Njrpa ntspf;fs epiyak; njhz;ilkhdhW

,uz;lhk; jtizg; guPl;ir - 2023
National Field Work Centre, Thondaimanaru
NFWC 2nd Term Examination - 2023

tzpff; fy;tp -I Three Hours

32 E I
Business Studies - I Gr. 12 (2024)

Instructions:
Index Number:………………..
 Answer all the questions on this question paper itself.
 Write your Index Number clearly in the space provided above. For examiner’s use only
 Select the correct answers for the questions No. 1 – 15 and write Q.No. Marks
its number on the dotted lines given. 1 – 15
 Write short answers for the questions No. 16 – 25 on the dotted
16 – 25
lines given.
 Each question carries two marks. TOTAL
01. The various methods used to fulfill physical and mental conditions essentially to be fulfilled by human
are,
(1) needs (2) wants (3) values
(4) demand (5) goods (……)

02. Which of the following is a classification of businesses based on ownership?

(1) Primary businesses (2) Industrial sector (3) Public sector
(4) Not-for-profit (5) Franchise businesses (……)

03. Which of the following is not relevant for contribution of businesses for survival of economy?
(1) National economic development (2) Generating employment opportunities
(3) Innovation (4) Satisfying complex wants
(5) Market expansion (……)

04. Production sectors and some of their contents are given in column X and column Y respectively in the
following table.
Column X Column Y
1 – Primary production A – Information communication activities
2 – Secondary production B – Manufacturing
3 – Tertiary production C – Livestock
D – Dwelling and property business
E – Mining and quarrying
F – Construction industry
Select the answer which contains the correct matching of column X and column Y.
(1) 1 – C, E / 2 – B, F / 3 – A, D (2) 1 – A, B / 2 – C, D / 3 – E, F
(3) 1 – A, E / 2 – B, D / 3 – E, F (4) 1 – C, E / 2 – B, F / 3 – A, D
(5) 1 – B, C / 2 – D, E / 3 – A, F (……)

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05. Macro environment forces are given in column X and some examples for them in column Y in the
following table.
Column X Column Y
1. Economic environment A – Trade agreements
2. Technological environment B – Inequality in income
3. Global environment C – Climate & weather changes
4. Political environment D – Outdate of goods
5. Natural environment E – Open market policies

Select the answer which contains the correct order of items given in column Y according to the
environment forces given in column Y.
(1) B, D, A, E, C (2) B, D, A, C, E (3) B, D, E, A, C
(4) A, E, C, B, D (5) E, A, D, B, C (……)
06. Select the fact which can be an opportunity for a business.
(1) Efficient and experienced managers
(2) Availability of more substitute goods
(3) Relevant allocation of work in the business
(4) Supply of quality goods by suppliers at right time
(5) Good co-ordination between various divisions in the business (……)
07. An advantage that a business can obtain by following marketing ethics is,
(1) avoiding financial frauds and inappropriate use of fund
(2) assuring the existence of business and facing competitions successfully
(3) avoiding unfavourable situation among employees
(4) providing quality goods and services
(5) protecting employee and employer rights (……)

08. External price stability in economic stability means,

(1) maintaining foreign exchange rate constantly
(2) maintaining domestic price level constantly
(3) maintaining interest rate constantly
(4) maintaining stability tax policy
(5) maintaining inflation rate constantly (……)

09. Sustainability means,

(1) Short term focus on environment, economic and social factors
(2) Long term focus on environment, economic and cultural factors
(3) Short term focus on environment, political and social factors
(4) Long term focus on environment, economic and social factors
(5) Long term focus on environment, cultural and political factors (……)

10. Sri Lanka recently faced inability to repay foreign debts. Which of the following caused this situation?
(1) economic stability (2) political unity (3) financial stability
(4) price stability (5) policy stability (……)

11. Central Bank of a country carried out the following monetary policy activities.
A – Sold treasury bills and bonds to collect the fund required by government.
B – Reduced bank interest rates.
C – Increased cash reserve ratio.
Which of the above transactions can increase supply of money?
(1) A only (2) A and B only (3) B only
(4) A and C only (5) B and C only (……)
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12. Which of the following is a consumer right not declared by ‘Consumer International’?
(1) right to choose (2) right to get attention (3) right to get compensation
(4) right to be informed (5) right to be protected (……)

13. Select the business organization which contains the following features.
- private sector
- limited liability
- legal personality
- administration by board of directors
(1) Uniliver ltd, Kumaran store (2) Silva PLC, Mallakam MPCS
(3) Road Development Authority, Masthan & Co. (4) Aruna (Pvt) ltd., Amutha Store
(5) Bairavi PLC, Sathosa (……)

14. Select the correct statement in relation to sole proprietorship business.

(1) compulsory auditing
(2) compulsory registration
(3) compulsory participation of family members
(4) compulsory payment of tax
(5) compulsory to follow law and regulations of local authority (……)

15. The following are some financial institutions.

A – Share brokering company B – Licensed Finance Companies
C – Market intermediaries D – Licensed Specialized Banks
E – Venture capital company F – Insurance companies
Select the answer which contains the financial organizations which can be classified under ‘specialized
financial institutions’.
(1) A, C, E (2) A, C, D (3) B, E, G (4) D, E, F (5) A, C, F (……)

 Answer the questions 16 – 20 by filling the blanks using correct word / words.
16. (a) An activity which includes …………………………… and …………………………… are called
trade.
(b) ………………………….. and ……………………………. are provided to fulfill needs and wants.

17. (a) Pressure groups and situations which can be seen in an organization and which affect the
organizational activities are called …………………………………… and the party which provides
resources or fund to the business and which takes profit or loss is called as
……………………………………
(b) Total expenses in relation to …………………………….. and …………………………… made
within a year to achieve economic objectives of government are called government expenses.

18. (a) …………………………………… and ……………………………… declared internationally

accepted consumer rights.
(b) Export Development Board provides ………………………………….. and
…………………………... services to small and medium scale businesses.

Grade - 12 (2024) 2nd Term 2023 NFW C - 3 - Business Studies

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19. (a) The businesses selling coca cola, pepsi cola etc. are …………………………... franchise business
and Mc Donalds, KFC, Pittza Hut, Subway etc. are ………………………………… franchise
business.
(b) Combination of a school bag producing business with biscuit producing business is a
………………… combination. A combination of an exercise book producing business with another
excise book producing business is a ……………………………….. combination.

20. (a) ……………………………….. is a state sector business which obtains fund from government
budget, while ………………………………. is a private sector business which can collect capital by
issuing shares.
(b) The market where government securities are sold first time is called …………………………………
The institutions which are allowed by Central Bank of Sri Lanka to enter into this market are called
as …………………………………………..

 Write short answers for the following questions.

21. Provide four characteristics of ‘services’.
1. ………………………………………………………………………………………………………….
2. ………………………………………………………………………………………………………….
3. ………………………………………………………………………………………………………….
4. ………………………………………………………………………………………………………….

22. State four risks or uncertainties a business can face in the future.
1. ………………………………………………………………………………………………………….
2. ………………………………………………………………………………………………………….
3. ………………………………………………………………………………………………………….
4. ………………………………………………………………………………………………………….

23. What are the facts to be considered by a business to achieve sustainable environment protection?
1. ………………………………………………………………………………………………………….
2. ………………………………………………………………………………………………………….
3. ………………………………………………………………………………………………………….
4. ………………………………………………………………………………………………………….

24. Provide four non-tax income obtained by Sri Lankan government.

1. ………………………………………………………………………………………………………….
2. ………………………………………………………………………………………………………….
3. ………………………………………………………………………………………………………….
4. ………………………………………………………………………………………………………….

25. What are the ways of collecting capital by state corporation?

1. ………………………………………………………………………………………………………….
2. ………………………………………………………………………………………………………….
3. ………………………………………………………………………………………………………….
4. ………………………………………………………………………………………………………….
(25  2 = 50 marks)

*****

Grade - 12 (2024) 2nd Term 2023 NFW C - 4 - Business Studies

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Njrpa ntspf;fs epiyak; njhz;ilkhdhW

,uz;lhk; jtizg; guPl;ir - 2023
National Field Work Centre, Thondaimanaru
NFWC 2nd Term Examination - 2023

tzpff; fy;tp - II 32 E II
Gr. 12 (2024)
Business Studies - II

Instructions:
 Answer five questions selecting at least two questions from each part.

Part I
01. Answer the questions (i) – (iv) using the following fact.
Sumangali who is a graduate and produces caps in different sizes and designs using palmyra leaves
naturally available mostly in northern Sri Lanka, plans to conduct an environment analysis.
(i) (a) State human need and want fulfilled by the above business. (01 mark)
(b) Mention what the above business can use in the case of ‘information’ as a factor of production.
(ii) Provide two main business activities to be fulfilled by the above business. (02 marks)
(iii) Write the advantages that Sumangali can obtain by studying business environment. (02 marks)
(iv) State one reason each as to how owner Sumangali can influence the business in the case of failure
and success of the above business.
(v) Classify the following businesses which can be seen in an area into primary, secondary and tertiary
businesses and into agricultural, industrial and service businesses.
1. Ananth building contractors
2. David chicken farm
3. Alli Mixture
4. Jeevan Super Market
5. Roshi Garden
6. Swarna Lodge
Use the following model to answer.
Primary Secondary Tertiary
Agriculture
……………………. ……………………. …………………….
……………………. ……………………. …………………….
Industry
……………………. ……………………. …………………….
……………………. ……………………. …………………….
Service
……………………. ……………………. …………………….
……………………. ……………………. …………………….
(02 marks)
(Total 10 marks)

Grade - 12 (2024) 2nd Term 2023 NFW C - 1 - Business Studies

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02. (i) State the factors which create pressure on the stakeholders and society. (02 marks)
(ii) Name the relevant concept in relation to 4R of waste management for the following activities.
(a) A business involving in fishing grows fishes.
(b) Producing paper from straws.
(c) Not using non-degradable polythene for packing
(d) Using lunch boxes instead of lunch sheets (02 marks)
(iii) State two capital expenses and two current expenses that can be made by Sri Lankan government.
(02 marks)
(iv) Assume that your friend is conducting a restaurant and he has an idea that he cannot obtain any
advantages by following consumer protection. How can you explain him the advantages that he can
obtain by following consumer protection? (02 marks)
(v) (a) What do you mean by open market operations of Central Bank? (01 mark)
(b) Sri Lanka is taking measures to leap out the present economic crises. Out of them, what is meant
by ‘debt restructuring (DD)’? (01 mark)
(Total 10 marks)
03. (i) (a) What is meant by ‘formal organization’? (01 mark)
(b) State two common characteristics of a formal organization. (01 mark)
(ii) Though many persons can gather in partnership businesses and collect larger amount of capital, sole
proprietorship businesses have some special advantages. State four such advantages. (02 marks)
(iii) (a) What do you mean by ‘Perpetual Succession Capacity’ of incorporated companies? (01 mark)
(b) What do you mean by ‘Overseas Companies’? (01 mark)
(iv) Name and explain the suitable types of company for the following businesses.
(a) Hirush PLC (b) Sultan Ltd. (02 marks)
(v) (a) State the characteristics of State Departments. (01 mark)
(b) What are the obligations of franchisee to be fulfilled in accordance with franchise agreement?
(01 mark)
(Total 10 marks)
Part II
04. (i) (a) What are the reasons for co-operative societies are not considered as successful organizations?
(01 mark)
(b) State your two suggestions to improve co-operative societies. (01 mark)
(ii) Describe the following business combinations.
(a) Mergers / Amalgamation (01 mark)
(b) Acquisition (01 mark)
(iii) Provide four things to be included in a franchise agreement. (02 marks)
(iv) Name the following business combinations.
(a) Combination of two stationery manufacturing businesses
(b) Creating Fair First Insurance company by combing Union Assurance General and Asian
Alliance PLC
(c) Combination of a school bag producing business with a milk powder producing business
(d) Combination of a furniture manufacturing business with a timber manufacturing business
(02 marks)

Grade - 12 (2024) 2nd Term 2023 NFW C - 2 - Business Studies

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(v) Sharuthi has confidence on her skills than a systematic planning and she has a skill of doing a task
continuously, event it is a complex task. She has new idea to achieve business aims.
State the entrepreneurial skills that Sharuthi has in the above case. (02 marks)
(Total 10 marks)

05. (i) Your friend has an opinion that the businessmen who carry out their activities with great effort can
also be called entrepreneurs. How can you describe the difference between businessman and
entrepreneurs?
(02 marks)
(ii) Even some entrepreneurs are born, entrepreneurial characteristics can be developed in a person who
does not have those characteristics. State those methods. (02 marks)
(iii) (a) Provide quantitative criteria used to identify small and medium scale businesses. (01 mark)
(b) What do you mean by ‘creativity’ an entrepreneurial characteristic. (01 mark)

(iv) Name the act which influence on the following facts related to partnership business.
(a) Maximum number of partners as 20
(b) Registration of partnership business
(c) 5% interest should be provided on the equity of dead or retired partners
(d) Having partnership deed (02 marks)
(v) Many supports and guidance are provided by government to many business organizations. State
importance of those supports and guidance to the businesses. (02 marks)
(Total 10 marks)
06. (i) (a) Chandra who purchases and sells furniture, deposits all cash and cheque received from sales in
her current account and makes all expenses by cheque.
State two types of money mentioned here. (01 mark)
(b) What do you mean by ‘measure of value’ of money? (01 mark)
(ii) State the services provided by banks to simplify the payments via debit and credit cards. (02 marks)
(iii) Amirthan is a retired government staff officer. He used a part amount of EPF and ETF money he
obtained on his retirement, to make a life insurance at Sri Lanka Insurance and he deposited another
part in a current account at Bank of Ceylon to start a new business. Thereafter, he signed a lease
contract with LB Finance PLC to buy a new motor vehicle to be used in his business activities.
Mention the financial institutions given above under the following classification of financial
institutions in Sri Lanka.
(a) Banking sector
(b) Other deposit taking financial institutions
(d) Contractual savings institutions (02 marks)
(iv) (a) What do you mean by ‘Share Brokers’?
(b) What is meant by ‘Underwriters’?
(v) State the advantages that a businessman obtains by leasing companies. (02 marks)
(Total 10 marks)

*****

Grade - 12 (2024) 2nd Term 2023 NFW C - 3 - Business Studies

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Njrpa ntspf;fs epiyak; njhz;ilkhdhW

,uz;lhk; jtizg; guPl;ir - 2023
National Field Work Centre, Thondaimanaru
2nd Term Examination - 2023
FWC

Grade :- 12 (2024) Business Studies Marking Scheme

Part – I
Q.No. Answer No. Q.No. Answer No. Q.No. Answer
No.
01 (2) 06 (4) 11 (3)
02 (3) 07 (2) 12 (3)
03 (5) 08 (1) 13 (2)
04 (1) 09 (4) 14 (5)
05 (1) 10 (4) 15 (1)

16. (a) Purchase, Sales (Order not required) (2  ½ = 01 mark)

(b) Goods, Services (Order not required) (2  ½ = 01 mark)

17. (a) Internal environment, owner (Order required) (2  ½ = 01 mark)

(b) Capital expenses, Current expenses (Order not required) (2  ½ = 01 mark)

18. (a) Consumer International, John F Kennady (Order not required) (2  ½ = 01 mark)
(b) Marketing, advisory (Order not required) (2  ½ = 01 mark)

19. (a) Production, business format (Order required) (2  ½ = 01 mark)

(b) Conflict combination, horizontal combination (Order required) (2  ½ = 01 mark)

20. (a) State department, listed company (Order required) (2  ½ = 01 mark)

(b) Primary market, Primary dealers (Order required) (2  ½ = 01 mark)

21. 1. No physical form

2. Cannot be stored / perishable
3. Different person to person
4. Inseparability (4  ½ = 02 marks)

22. 1. Changes in consumers taste, design demand

2. Changes machines, equipment and production technology
3. Increase in competitiveness
4. Raw material shortage, power cut, fuel shortage
5. Problems of employees such as strike
6. Fire caught, theft risk, accidents etc.
7. Incorrect decision of management in relation to resource usage
(4  ½ = 02 marks)

Grade - 12 (2024) 2nd Term – 2023 NFWC 1 Business Studies (Scheme)

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23. 1. Use of resources

2. Raw material and waste management
3. Risk management
4. Nature and cultural designs (4  ½ = 02 marks)

24. 1. Profits and dividend

2. Charges and fees
3. Rent and interest income
4. Others (4  ½ = 02 marks)

25. 1. Government debt

2. Dividend
3. Reinvestment
4. Public debt (4  ½ = 02 marks)

Part II
01. (i) (a) Human need: cloth (½ mark)
Want: cap (½ mark)
(a) 1. Design according to changes in consumers taste
2. New information related raw material
3. New information related to new technology
4. Information related to market (2  ½ = 01 mark)

(ii) 1. Fulfilling human needs and wants

2. Adding value to resources (2  1 = 02 marks)

(iii) 1. To identify opportunities

2. To identify threats
3. To identify strengths
4. To identify weaknesses (4  ½ = 02 marks)
(iv) Influence on success:
1. More financial strength
2. More knowledge and experience (1  1 = 01 mark)
Influence on failure:
1. Less financial strength
2. Less knowledge and experience (1  1 = 01 mark)

Grade - 12 (2024) 2nd Term – 2023 NFWC 2 Business Studies (Scheme)

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(v)
Primary Secondary Tertiary
Agriculture sector David chicken farm
Rosi Garden
Industrial sector Anand Building
Contractors
Alli Mixture
Services sector Jeevan Super
Market
Swarna Lodge

(01 mark) (½ mark) (½ mark)

02. (i) - Business competition
- Globalization
- Electronic business
- Environment pollution (4  ½ = 02 marks)

(ii) (a) Replace (b) Recycle

(c) Reduce (d) Reuse (4  ½ = 02 marks)

(iii) Capital expenses: 1. Constructing airport

2. Constructing harbor
3. Constructing flyovers
4. Constructing new roads (2  ½ = 01 mark)
Current expenses: 1. Salary payments of government servants
2. Fuel expenses
3. Building rent
4. Interest expenses (2  ½ = 01 mark)
(Consider other relevant answers)
(iv) 1. Consumer credibility can be obtained by providing quality goods.
2. Increase of sales and profit
3. Reduction in waste, as production is done in accordance with standards.
4. A favourable business environment can be created due to the absence of adverse competition,
trade malpractices (4  ½ = 02 marks)

(v) (a) Purchase and sales of government securities by central bank is called open market operations.
(01 mark)
(b) Extending or postponing loan repayment period or reducing or removing interest on loan or
combination of the above is called debt restricting. (01 mark)

Grade - 12 (2024) 2nd Term – 2023 NFWC 3 Business Studies (Scheme)

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03. (i) (a) A social unit having an organizational structure established by a group of individuals to fulfill a
common objective is called formal organization. (01 mark)
(b) - Having objective
- Existence of individuals
- Having an organizational structure (2  ½ = 01 mark)
(ii) 1. Can be easily started.
2. All profits can be enjoyed by a single person.
3. Independent decision making
4. Less rules and regulations and less legal restrictions
5. Privacy of business information
6. Business can be dissolved.
7. Direct connection with customers
8. Easy to administer (4  ½ = 02 marks)

(iii) (a) The companies have long term existence, even the owners of the companies die. (01 mark)
(b) The company incorporated in a foreign country and again incorporated in Sri Lanka under
Companies act No. 7 of 2007 to operate in Sri Lanka (01 mark)
(No need to mention companies’ act)
(iv) (a) Listed company (½ mark)
The companies registered at Colombo Stock Exchange to issue the shares through it. (½
mark)
(b) Non-listed company (½ mark)
The companies not registered at Colombo Stock Exchange to issue the shares through it.
(½ mark)
(v) (a) 1. Supervised by a ministry
2. Activities in accordance with administrative and financial regulations
3. A service providing business
4. Not having legal personality
5. The head of department should appear for any legal issue.
6. Fund allocated through government budget (2  ½ = 01 mark)
(a) 1. Agreeing to function according to the conditions of franchiser
2. Collecting capital
3. Purchasing goods from franchiser or from anyone authorized by franchiser
4. Paying charges to franchisor in accordance with agreement (2  ½ = 01 mark)

Part II
04. (i) (a) 1. Financial sources are limited.
2. Have to carry out in accordance with co-operative policies
3. Opening in a limited time
4. Government intervention
5. No credit sales
6. Inefficiency in management, as it is selected based on votes. (2  ½ = 01 mark)

Grade - 12 (2024) 2nd Term – 2023 NFWC 4 Business Studies (Scheme)

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(b) 1. Extending opening time

2. Selling goods on credit basis
3. Selecting experienced and efficient persons for management
4. Using various promotion method
5. Expanding self-sales centers
6. Arranging businesses in an attractive method to attract customers
7. Increasing members’ benefits
8. Joining new members
9. Using new technological methods to provide services to customers (2  ½ = 01 mark)

(ii) (a) The combination by purchasing all assets and liabilities of a company by another company or
concluding business activities of the related companies and beginning a new company is
called merger or amalgamation. (01 mark)
(b) Getting more authority in the management of a company by purchasing more shares from the
particular company is called acquisition. (01 mark)
(iii) 1. Rules and regulations in relation to conducting the business
2. The services provided by franchiser
3. Financial conditions
4. Initial charges to be paid by franchisee
5. Royalty payments to be paid monthly (4  ½ = 02 marks)
(iv) (a) Horizontal combination (b) Vertical combination
(c) Conglomerate combination (d) Vertical / Upward vertical
(4  ½ = 02 marks)
(v) 1. Leadership skill 2. Interpersonal skill
3. Communication skill 4. Basic management skill (4  ½ = 02 marks)
05. (i)
Entrepreneur Businessman
1. Starts business based his idea or new idea Starts business current idea
2. He is the competitor for himself. Many competitors are there.
3. Gets ready for new business opportunities. Concerns about his business activities.
4. Innovates Follows traditions
5. Risk taker Carries out business activities safely
6. Faces risks successfully. Not interested to face risks

(4  ½ = 02 marks)
(ii) 1. Self-evaluation 2. Training
3. Education 4. Experience (4  ½ = 02 marks)
(iii) (a) 1. Amount of capital 2. Number of employees
3. Power usage 4. Annual sales turnover
5. Value of non-current assets (2  ½ = 01 mark)
(b) Viewing, thinking and acting differently (01 mark)

Grade - 12 (2024) 2nd Term – 2023 NFWC 5 Business Studies (Scheme)

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(iv) (a) Companies act No. 7 of 2007

(b) Business Name Registration Ordinance No. 6 of 1918
(c) Partnership Ordinance No. 9 of 1890
(d) Frauds Prevention Ordinance No. 7 of 1840 (4  ½ = 02 marks)

(v) 1. Registering businesses

2. Increase in business image
3. Contributing to development of country
4. Public and government recognition (4  ½ = 02 marks)

06. (i) (a) 1. Legal tender / Fiat money 2. Bank money (2  ½ = 01 mark)
(b) People keep a part of their wealth as money. It is called store of value. (01 mark)

(ii) 1. Automated Teller Machine

2. Automated Deposits Machine
3. Cheque Deposits Machine
4. Electronic Funds Transfer Point of Sales
5. Tele-banking
6. Internet banking / Online banking
7. Television banking (4  ½ = 02 marks)

(iii) (a) Banking sector: Bank of Ceylon (½ mark)

(b) Other deposit taking financial institutions: LB Finance (½ mark)
(c) Contractual savings institutions:
1. Sri Lanka Insurance
2. Employee Provident Fund
3. Employee Trust Fund (2  ½ = 01 mark)

(iv) (a) The financial institutions authorized to purchase government securities from central bank of Sri
Lanka are called primary dealers. (01 mark)
(b) The institutions which functions as an intermediary to purchase and sell shares and debentures
of incorporated companies are called share brokers. (01 mark)

(v) 1. An opportunity can be obtained to use a valuable property without paying full amount at one
time.
2. Lease installment is excepted from tax.
3. The losses of becoming outdate and capital loss can be avoided.
4. High income can be obtained without investing huge amount. (4  ½ = 02 marks)

Grade - 12 (2024) 2nd Term – 2023 NFWC 6 Business Studies (Scheme)

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 Term Examination G.C.E. (A/L) – 2022
conducted by Field Work Center, Thondaimanaru in collaboration
with Provincial Department of Education, Northern Province
FWC

Grade 12 (A/L) 2022 Business Studies I Time : 3 hours & 10 Min.

Instructions:
Index Number:………………..
• Answer all the questions on this question paper itself.
• Write your Index Number clearly in the space provided above. For examiner’s use only
• Select the correct answers for the questions No. 1 – 15 and write Q.No. Marks

g
its number on the dotted lines given. 1 – 15
• Write short answers for the questions No. 16 – 25 on the dotted 16 – 25

or
lines given.
• Each question carries two marks. TOTAL
01. Some statements are given below.
A – An individual sells his own land to another person.

.
B – A person who produces yogurt sells his products to retail traders.
C – A father donates a plot of land to his son.
on
D – A hairdresser cuts hair of a school student.
E – A mother uses vegetables of her home garden for daily food preparation.
Out of the above, select the answer which contains the statements which can be considered as business
ee
activity.
(1) A and B (2) B and D (3) A and C
(4) A, B and C (5) B only (……..)
.b

02. Five state organizations which fulfill needs and wants are given below.
A – Sri Lanka Telecom B – Sri Lanka Insurance
C – Osusala D – Sri Lanka Transport Board
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E – Lanka Salusala Ltd.

Select the answer which contains the correct order of needs fulfilled those state organizations.
(1) A – Communication, B – Security, C – Health, D – Transport, E – Cloth
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(2) A – Communication, B – Health, C – Security, D – Transport, E – Cloth

(3) A – Communication, B – Cloth, C – Health, D – Transport, E – Security
(4) A – Security, B – Communication, C – Health, D – Transport, E – Cloth
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(5) A – Transport, B – Security, C – Health, D – Communication, E – Cloth (……..)

03. Some weaknesses of internal environment are given below.

A – Less number of persons
B – Having adverse work habit
C – Having a positive evaluation and value system
D – Having conflicts among roles
E – Having negative attitude
Select the answer which contains the weaknesses of employees.
(1) B, C, E (2) A, B, E (3) A, B, D, E
(4) B, E (5) B, D (……..)
Grade 12 (2022) - FWC -1- Business Studies I – 3rd Term Examination 2022
04. Main composition (pillars) of sustainable development are given in column X and the activities to be carried
out by the businesses to assure those sustainable development are given in column Y in the following table.
Column X Column Y
A – Economic sustainable development 1. Generating employment opportunities
B – Environment sustainable development 2. Respecting human diversification
C – Social sustainable development 3. Equality
4. Introducing innovation
5. Waste management
6. Purchase of environment friendly product

Select the answer which contains the correct matching of the items given in column X and in column Y.
(1) A – 1/6, B – 2/5, C – 3/4 (2) A – 1/4, B – 4/6, C – 2/3 (3) A – 1/4, B – 5/6, C – 2/3

g
(4) A – 1/2, B – 3/4, C – 5/6 (5) A – 5/6, B – 3/4, C – ½ (……..)

05. Some statements related to business organizations are given.

or
A – Business organizations obtain legal personality by registering under related act.
B – State departments have legal personality.
C – Tharshana Company Ltd is a non-listed company.

.
D – Companies limited by guarantee do not issue the shares and do not provide dividend.
on
E – The combination between timber producer, furniture producer and furniture seller is a vertical
combination.

Select the answer which contains the correct statements from the following.
ee
(1) A, B, C (2) C, D, E (3) C, D
(4) A, B, E (5) A, B, C, E (……..)

06. Some business organizations are given in column X and some of their features are given in column Y in the
following table.
.b

Column X Column Y
1 – Road Development Authority A – Franchise business
2 – Livestock farmers Co-op Society B – Minimum number of directors is one.
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3 – Lanka Clear (Pvt) Ltd. C – Management by board of directors

4 - KFC D – Not-for-profit organization under private sector
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Select the answer which have the correct order of items in column Y according to the order of items in
column X.
(1) C, B, D, A (2) C, D, B, A (3) A, B, C, D
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(4) D, C, B, A (5) C, D, A, B (……..)

07. Which of the following is an advantage of entrepreneurship for an entrepreneur?

(1) Expansion of market share (2) Generation of new employment opportunities
(3) Social recognition (4) Increase of Gross Domestic Production
(5) Use of regional resources (……..)

Grade 12 (2022) - FWC -2- Business Studies I – 3rd Term Examination 2022
08. Some organizations which provide the criteria used to identify small businesses and the criteria they
provided are given in column X and in column Y respectively in the following table.
Column X – Organizations Column Y – Criteria
1. Industrial Development Board A – The businesses not exceeding the capital
2. Industrial Development Ministry invested Rs. 20 million
3. Census and Statistic Department B – The businesses using power less than 50
4. Central Bank of Sri Lanka Kilowatts
C – The businesses not exceeding the capital
invested Rs. 4 million
D – The businesses having employees less than
25

g
What is the answer which have the correct order of the criteria given in column Y in accordance with the
order of organizations given in column X?

or
(1) A, D, C, B (2) C, D, A, B (3) C, A, B, D
(4) C, A, D, B (5) B, D, A, C (……..)

09. Some functions of Central Bank of Sri Lanka are given below.

.
A – Implementing monetary policy
B – Directing foreign exchange rate
C – Foreign exchange control
D – Issue of legal tender
on
E – Public debt management
ee
F – Management of Employees Trust Fund
Out of the above functions, the representative functions are,
(1) C, E, F (2) A, B, D, E (3) A, B, E
(4) D, E, F (5) A, B, E, F (……..)
.b

10. Statement A: Important and complex information can be communicated through verbal communication.
Statement B: In addition to verbal communication, it is necessary to communicate that information through
written communication.
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From the above statements,

(1) A is correct but B is incorrect.
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(2) A is incorrect but B is correct.

(3) Both A and B are incorrect.
(4) A and B are correct and A is further described through B.
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(5) Both A and B are incorrect. (……..)

Grade 12 (2022) - FWC -3- Business Studies I – 3rd Term Examination 2022
11. The following table shows the insurance principles and their descriptions.
Principles Descriptions
1. Insurable interest A – The direct cause related to the loss incurred to the property insured
2. Utmost good faith B – The legal right of a person to insure the life or the property
3. Indemnity C – The right of insurer to collect the compensation from the third
party who made the damages the property insured
4. Proximate cause D – Disclosure of information by insured and insurer in relation to
insurance policy
5. Proximate cause E – The insured can obtain the compensation only for the value of loss
incurred
(1) B, D, E, A, C (2) A, C, E. D, B (3) B, D, C, E, A

g
(4) B, D, E, C, A (5) D, B, E, C, A (……..)

12. The logistic which has heavy outbound logistic and simple inbound logistic is,

or
(1) Heavy Inbound Logistic System (2) Balanced logistic system
(3) Heavy Outbound Logistic System (4) Reverse Logistic System
(5) Inbound Logistic System (……..)

.
13. Select the statement which clearly shows retail trade activity from the following.

suppliers.
on
(1) Mangala furniture selling business purchased a certain set of furniture from Nilkamal furniture

(2) A pharmacy purchased safety face masks from a local supplier.

(3) A building contractor purchased cement bags required for building works.
ee
(4) ‘Sooryodhaya Sports Club’ purchased 200 kg of rice for annual Wesak arms giving.
(5) A stationery shop purchased required stationery items from a Colombo supplier. (……..)

14. The documents used in international trade are given in column X and their descriptions are given in column
.b

Y in the following table.

Column X – Documents Column Y – Descriptions
1. Indent A – The document which certifies the country where it is
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produced.
2. Certificate of Origin B – The document issued by Customs Department to exporter
assuring goods have been taken over
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3. Letter of Credit C – An order provided to exporter to send the specified goods

4. Wharfinger’s receipt D – An assurance for the payment on import
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Select the answer which has the correct order of the descriptions given in column Y in accordance with the
order of documents given in column X.
(1) C, A, D, B (2) B, D, A, C (3) C, A, B, D
(4) D, C, A, B (5) B, A, D, C (……..)
15. The forms of e-business are given in column X and examples are given in column Y in the following tables.
Column X Column Y
A – B2B 1 – Payment of EPF by a business
B – C2C 2 – Placement of order by a footwear seller through e-mail to his supplier
C – B2G 3 – Sri Lanka Interbank Payment System (SLIPS)
D – G2B 4 – Transactions by e-bay

Grade 12 (2022) - FWC -4- Business Studies I – 3rd Term Examination 2022
 Select the answer which correctly matches the forms of e-business given in column X and examples in given
column Y.
(1) A-3, B-1, C-2, D-4 (2) A-4, B-3, C-1, D-3 (3) A-4, B-2, C-1, D-3
(4) A-2, B-4, C-3, D-1 (5) A-2, B-4, C-1, D-3 (……..)
⚫ Fill the blanks in the questions 16 – 20 using appropriate words.
16. (a) Other businesses which provide the goods and services similar to those of a business are called
………………………………. the businesses which provide alternative goods and services to those of
a business are called ………………………………………..
(b) Consumers’ knowledge and their income create …………………………………… for some businesses
and create ………………………… for some businesses.
17. (a) ………………………………… denotes the equal distribution of gross domestic product of a country

g
among its population. Further, all the persons who are willing to provide their labour involve in service
providing and occupying all economic resources in efficient production activities is called

or
…………………………………….
(b) Import can be …………………………… by imposing tax and local production can be ………………..
18. (a) Ownership of a sole proprietorship business is …………….. and …………….. is high on the business

.
for creditors.

cheque is always …………………………………….

on
(b) ……………………… has the authority to remove the cross lines in the cheque and the drawee of a

19. (a) ……………………… and …………………………. are the sub principles of indemnity.
(b) …………………………… of legal tender is high in comparing with bank money and …………….
ee
money is an income earning asset.
20. (a) …………………………. and ………………………… are two types of insurance.
(b) The method of reacting of receiver regarding the message received is known as ……………………….
Further the communication between a business and other businesses and its customers is called as
.b

…………………… communication.
⚫ Write the short answer for the questions 21 – 25.
21. Write four new trends in the business due to information technology at present.
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(1) ……………………………………………… (2) ………………………….………………………

(3) ……………………………………………… (4) ………………………….………………………
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22. Provide any four of income tax classification of government.

(1) ……………………………………………… (2) ………………………….………………………
(3) ……………………………………………… (4) ………………………….………………………
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23. Provide the essential characteristics of partnership business.

(1) ……………………………………………… (2) ………………………….………………………
(3) ……………………………………………… (4) ………………………….………………………

24. Write the four financial institutions included under ‘market intermediaries’ classified under specialized
financial institutions.
(1) ……………………………………………… (2) ………………………….………………………
(3) ……………………………………………… (4) ………………………….………………………
25. State new technologies which can be used by retail business as new trends.
(1) ……………………………………………… (2) ………………………….………………………
(3) ……………………………………………… (4) ………………………….………………………
Grade 12 (2022) - FWC -5- Business Studies I – 3rd Term Examination 2022
 Term Examination G.C.E. (A/L) – 2022
conducted by Field Work Center, Thondaimanaru in collaboration
with Provincial Department of Education, Northern Province
FWC

Grade 12 (A/L) 2022 Business Studies II

Instructions:
• Answer five questions selecting at least two questions from each part.

Part I
01. (i) Neela who has long term experience in apparel industry, designs and produces the garments herself for

g
her need and supplies some garments items to the nearest textile shop.
Write the examples for the following from the above passage.

or
1. Direct production 2. Indirect production
3. Secondary production 4. Tertiary production (02 marks)
(ii) Shiyam who worked in a printing company abroad and returned to Sri Lanka, started a printing business

.
appointing Dishani who has experience and interest computer designs, as manager.
on
Explain separately how Shiyam and Dishani can influence on the success of business.
(iii) Macro environment forces create opportunities and threats through affecting task environment.
Justify the above statement citing examples.
(02 marks)

(02 marks)
(iv) Categorizing wastes and producing another product is called recycle. State two types of recycle with
ee
examples. (02 marks)
(v) Rohini who conducted a business producing hand bags for women, is interested in fulfilling social
responsibility. State separately the social responsibilities to be fulfilled by her in favour of customers
and society. (02 marks)
.b

(Total 10 marks)
02. (i) All businesses involve in fulfilling human needs and wants. However, there are adverse impacts of
business activities. State four such adverse impacts. (02 marks)
(ii) The government which implemented quarantine curfew to control Covid-19 pandemic, made the
w

following activities to protect consumers and to control shortage of goods.

1. Sugar was issued through Sathosa at a determined price to eliminate shortage for sugar.
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2. The government determined control prices for some essential goods and asked to inform about the
traders who violated this control prices through a hotline 1977.
3. Paddy was purchased from farmers at a fair price.
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4. Vehicle import was controlled to maintain stock of foreign currency and unnecessary state expenses
were controlled.
Identify the relevant roles of government to influence businesses in relation to each of the above.
(02 marks)
(iii) Classify the following income and expenditure of government into tax income, non-tax income, current
expenditure and capital expenditure
Port-city construction expenses Public Health Inspector salary
Cost of Covid-19 vaccine Income tax
Motor vehicle driving license revenue and charges Withholding tax
Lottery ticket sales income Construction cost of Colombo Lotus Tower
(02 marks)

Grade 12 (2022) 2022 November - FWC -1- Business Studies II – 3rd Term Examination
 (iv) (a) State separately the objectives of fiscal policy and monetary policy of government.
(b) State the impact on the profit as ‘increase’ or ‘decrease’ due to the following activities because of
implementation of monetary policy.
1. When Central Bank reduces interest rate (bank rate)
2. When Central Bank reduces Cash Reserve Ratio (02 marks)
(v) Explain how a ‘rational consumer’ acts in market. (02 marks)
(Total 10 marks)
03. (i) Yamini went to a business which sells various varieties of fruits in packed bags. When she tried to check
fruits to purchase, she was prevented by the seller to check fruits. Then, when she asked for information
about the production place of fruits, seller denied to offer them. Yamini was suspicious and then
complained to relevant Office of Regional Medical Officer of Health about that business.

State separately the consumer rights that seller denied and the consumer rights that Yamini applied

g
against the seller. (02 marks)
(ii) (a) What do you mean by ‘Partnership’?

or
(b) What is meant by Mutual agency of partnership? (02 marks)
(iii) Provide the special features of incorporated companies. (02 marks)
(iv) (a) What is meant by Certificate of Incorporation?

.
(b) State two new trends in the development of co-operative society. (02 marks)
on
(v) Explain citing examples how production franchise is different from product franchise.

Part II
(02 marks)
(Total 10 marks)

04. (i) Banu and Swadhi who have successfully completed internal university degree programme of Fashion
ee
Design, plan to obtain franchise from an Indian textile and to start a franchise business. There are
advantages of franchise business and disadvantages also. Write four such disadvantages of franchise
business. (02 marks)
(ii) Kogulan involved in an entrepreneurship which produces agricultural products using natural fertilizer.
(a) State two entrepreneurial characteristics that Kogulan must have to be successful.
.b

(b) Provide two methods which Kogulan can use to develop his entrepreneurial characteristics and
skills. (02 marks)
(iii) (a) Provide two financial incentives that government provides to encourage small and medium scale
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businesses.
(b) Write state institutions which provide incentives to small and medium scale businesses. (02 marks)
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(iv) Magishnan wanted to purchase a mobile phone to participate in online classes due to Covid-19
pandemic. He paid Rs. 15 000 immediately to purchase a mobile phone at value Rs. 18 500 and he
agreed to pay the balance within one week. The seller deposited all his receipts on that day in the bank
w

to purchase mobile phones for resale in the future.

Name the functions of money mentioned in this passage with examples from above. (02 marks)
(v) Name the relevant classification of financial institutions for the following financial institutions.
1. Licensed Specialized Banks 2. Co-operative Rural Banks
3. Licensed Microfinance Companies 3. Employee Trust Fund (02 marks)
(Total 10 marks)
05. (i) Classify the loan services of Licensed Commercial Banks. (02 marks)
(ii) Priyanthan who carries out a mobile phone business, opened a current account at Bank of Ceylon due
to increased transactions and obtained a cheque book. Clarify the matters to be considered in writing a
cheque, as he does not have any prior experience. (02 marks)
(iii) State the services provided by finance companies to simplify the e-cash transactions. (02 marks)

Grade 12 (2022) 2022 November - FWC -2- Business Studies II – 3rd Term Examination
 (iv) (a) Name the institution which was started with the capital contribution of Central Bank of Sri Lanka
and Commercial Banks to implement Sri Lanka Interbank Payment System - SLPS).
(b) State two payment and settlement systems included in Lanka Settle System. (02 marks)
(v) (a) Write the numbers which can be seen in the Magnetic Ink Recognition Column (MIRC) in order.
(b) Write the number which can be seen in cheque and counter foil of the cheque. (02 marks)
(Total 10 marks)
06. (i) Pay your attention on the following two statements pertaining to involvement of external parties in
the insurance.
Statement A – A business made an insurance to cover the losses which can be made by the
business to external parties due to business activities
Statement B – A business obtained the compensation only from the insurance company by
giving the right to obtain the compensation from the third party, when the loss
was incurred by the third party.

g
Name the insurance policy related to statement A and name the insurance principle related to statement
B. (02 marks)

or
(ii) Write the relevant communication method for the following communication medium. (First one is
done for you.)
Communication Internal / External Verbal / Written / Electronic / Non

.
medium Sign and signal electronic
1. Mobile phone
2. Short Message
Service (SMS)
3. Packaging symbol
(A) …………………
(A) …………………
(A) …………………
on
(A) …...External…... (B) ……Verbal…….
(B) …………………
(B) …………………
(B) …………………
(C) .…Electronic…..
(C) …………………
(C) …………………
(C) …………………
4. Newspaper (A) ………………… (B) ………………… (C) …………………
5. Seminar (A) ………………… (B) ………………… (C) …………………
ee
(02 marks)
(iii) Madhura who applied for a post of Management Assistant in state sector, passed in the written
examination, went to railway station by a three-wheeler and reached Colombo for an interview.
Write the elements of transportation used by Madhura with the examples from the above passage.
.b

(02 marks)
(iv) (a) What do you mean by ‘non-store retailing’?
(b) State any two methods of direct marketing in retail business. (02 marks)
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(v) (a) What do you mean by ‘comparative cost advantage’ in international trade?
(b) Provide two barriers which can affect free trade, in addition to tariff. (02 marks)
(Total 10 marks)
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*****
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Grade 12 (2022) 2022 November - FWC -3- Business Studies II – 3rd Term Examination
 njhz;ilkhdhW ntspf;fs epiyak; elhj;Jk;
%d;whk; jizg; guPl;ir - 2022
3rd Term Examination – 2022
FWC Conducted by Field Work Centre, Thondaimanaru

Grade :- 12 (2022) Business Studies Marking Scheme

Part I
01. (2) 06. (2) 11. (4)
02. (1) 07. (3) 12. (3)
03. (4) 08. (4) 13. (4)

g
04. (3) 09. (1) 14. (1)
05. (2) 10. (4) 15. (5) (15 ù 2 = 30 marks)

or
16. (a) Competitors> Substitute producers (Order required> 2 ù ½ = 1 mark)
(b) Opportunities> threats (Order not required> 2 ù ½ = 1 mark)

.
17. (a) fair income distribution> full employment

(b) control / reduce, increase

on (Order required> 2 ù ½ = 1 mark)
(Order required > 2 ù ½ = 1 mark)
ee
18. (a) sole / single> risk (Order required> 2 ù ½ = 1 mark)
(b) drawer, licensed (Order required > 2 ù ½ = 1 mark)

19. (a) contribution> subrogation (Order not required> 2 ù ½ = 1 mark)

(b) liquidity> near (Order required> 2 ù ½ = 1 mark)
.b

20. (a) life insurance, general insurance / property insurance

(Order required> 2 ù ½ = 1 mark)
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(b) response, external (Order required> 2 ù ½ = 1 mark)

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21. 1. Globalization
2. Evolution of e-business
3. Use of e-money
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4. Concern about environment

5. Concern about social responsibility (4 ù ½ = 02 marks)

22. 1. Income tax

2. Value added tax
3. Production tax
4. Income tax
5. Other tax (4 ù ½ = 02 marks)

Grade - 12 (2022) Term examination (FWC) - 2022 - 1 - Business Studies

23. 1. Profit objective
2. Involving in a business activity
3. Existence of individuals
4. Mutual agency relationship (4 ù ½ = 02 marks)

24. 1. Underwriters
2. Investment managers
3. Margin providers
4. Credit rating agency (4 ù ½ = 02 marks)

25. 1. Bar code

g
2. Weight and measurement methods – electric methods
3. Payment methods – credit card, debit card

or
4. Supervision method: - CCTV camera (4 ù ½ = 02 marks)

Part II

.
01. (i) 1. Direct production – Neela produces garments herself.

on
2. Indirect production – Selling garments to nearest textile businesses
3. Secondary production – Garments production of Neela
4. Tertiary production – Textile business (½ mark ù 4 = 02 marks)
ee
(ii) Shiyam: Dishani:
1. Financial strength 1. Experience
2. Knowledge and experience (01 mark) 2. Having various skills
3. Good attitude
.b

4. Motivation (01 mark)

(iii) 1. Due to increase in salary level, one of task environmental forces customers income increases and
w

demand for goods and services increases.

2. Due to increase in prices of goods and services, price levels of goods and services supplied by
suppliers increase.
w

(For any two explanation) (2 ù 1 = 02 marks)

(iv) 1. Converting low value raw material in to high value product (½ mark) (½ mark)
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Example: Producing paper from straw (½ mark)

2. Converting high valuable products in to low valuable raw material. (½ mark)
Example: Converting used cars in to iron bar (½ mark)
(v) Consumer related social responsibilities:
1. Conducting fairly
2. Minimizing damages
3. Protecting rights (½ × 2 = 01 mark)
Society related to social responsibilities:
1. Contributing employment opportunities
2. Paying tax regularly
Grade - 12 (2022) Term examination (FWC) - 2022 - 2 - Business Studies
 3. Social welfare services
4. Waste management
5. Green production
6. Environment-friendly activity (½ × 2 = 01 mark)

02. (i) 1. Importing low quality goods with intention of earning high profit
2. Cheating consumers due to high competition
3. Not paying attention on employee welfare
4. Making production wasting natural resources
5. Removing waste polluting environment
6. Advertising affecting social and cultural values of the society
7. Dressing dresses in a irrelevant manner

g
(½ × 4 = 02 marks)
(ii) 1. Being competitors

or
2. Forming rules and regulations
3. Being consumers
4. Being policy makers (½ × 4 = 02 mark)

.
(iii) Income tax:
Income tax
Withholding tax
Non-income tax:on
Motor vehicle license and charges
Lottery ticket sales income
(½ mark) (½ mark)
ee
Current expenses: Capital expenses:
Public Health Inspectors’ salary Port city construction expenses
Covid-19 medicine expenses Lotus tower construction expenses
.b

(½ mark) (½ mark)
(½ mark for two items under)
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(iv) (a) Fiscal policy: Safeguarding macro-economic stability

(½ mark)
Fiscal policy: Maintaining stability of internal price level (½ mark)
w

(b) 1. Increase (½ mark)

w

2. Increase (½ mark)

(v) A mindful consumer attempts to select products with a value for the money he pays and products with
higher standards. Similarly, he takes steps to inform the relevant authorities when the consumer rights
are broken and business malpractices are taken place. Moreover, he behaves as a rational consumer by
protecting the environment he lives in, being concerned about society and by acting cooperatively.
(for complete answer 02 marks)

Grade - 12 (2022) Term examination (FWC) - 2022 - 3 - Business Studies

03. (i) Consumer rights refused: - Right to be informed (½ mark)
- Right to select (½ mark)
Consumer rights followed: - Right to be protected (½ mark)
- Right to be heard (½ mark)
(ii) (a) The relationship between the persons of a business operating with profit objective is partnership.
(01 mark)
(b) Functioning as principal and agent of partners to each other (01 mark)
(iii) 1. An independent organization incorporated under companies act.
2. Being separated from its shareholders
3. Long term existence / Continued existence

g
4. Limited liability of owners
5. Issue of shares

or
6. Management by board of directors (½ × 4 = 02 marks)

(iv) (a) The document provided by Company Registrar assuring particular company has been registered

.
fulfilling all requirements in accordance with Companies Act No. 7 of 2007 (01 mark)
(b)
Example: Co-op city, Co-op Super
on
1. Starting and modernizing business with self-sales facilities

2. Entering in to new businesses

ee
Example: Co-op Insurance, fuel filling station
3. Conducting mobile businesses
4. Electronic payment methods (½ × 2 = 01 mark)
.b

(v) Manufacturing franchise business:

The franchise businesses where the franchisee receives the authority of manufacturing and distributing
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the products under the franchisor’s brand name. (½ mark)

Examples: An organization that bottles and distributes soft drinks like Coca cola, Pepsi cola
etc.
w

(½ mark)
Product Franchises:
Franchises such that the franchisee receives authorization to purchase goods from the franchisor with
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the brand name and to resale them are known as product franchises (½ mark)
Examples: Outlets selling petroleum products (IOC Fuel stations) (½ mark)

Grade - 12 (2022) Term examination (FWC) - 2022 - 4 - Business Studies

 Part II
04. (i) 1. Because the franchisor retains his control, the franchisee does not get perfect autonomy
2. Need of incurring a greater cost to receive a franchise
3. The possibility of profitability being an uncertainty
4. A certain level of risks is involved because of the dependence on the goodwill of the franchisor.
5. The franchisee facing severe inconvenience because of the need of adherence to the franchise
agreement. (½ × 4 = 02 marks)

(ii) (a) 1. Willingness to take risk

2. Creativity
3. Dedication

g
4. Self-confidence

or
5. Self-reliant (½ × 2 = 01 mark)

(b) 1. Self-evaluation

.
2. Training
3. Education
4. Experience
on (½ × 2 = 01 mark)
ee
(iii) (a) 1. Short term and long-term loans
2. Financial assistance
3. Tax concession
4. Refinancing facilities (½ × 2 = 01 mark)
.b

(b) 1. Industrial Development Board

2. Export Development Board
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3. Sri Lanka Standards Institution

4. National Development Bank
w

5. Industrial Technology Institute (½ × 2 = 01 mark)

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(iv) 1. Medium of exchange: Purchase of mobile phone for Rs. 15 000

2. Measure of value: The price of mobile phone Rs. 18 500
3. Store of value: Deposit of sales proceeds at bank
4. Standard of Deferred payment: Purchase of mobile phone on credit basis (½ × 4 = 02 marks)

(v) 1. Banking sector 2. Other deposit taking financial institution

3. Specialized financial institution 4. Contractual savings institution
(½ × 4 = 02 marks)

Grade - 12 (2022) Term examination (FWC) - 2022 - 5 - Business Studies

05. (i) 1. Bank overdraft (½ mark)
- Permanent bank overdraft
- Temporary bank overdraft (½ mark)
2. Loans (½ mark)
- Business loan
- Consumer loan (½ mark)

(ii) 1. Using un-erasable ink

2. Writing the details in the counter foil
3. Errors should be written in a single ink

g
4. Using a same language pattern
5. Signing properly

or
6. Paying attention date and its security
7. Not signing in blank cheque (½ × 4 = 02 marks)

.
(iii) 1. Automatic teller machine - ATM
2. Automatic Deposits machine – ADM
3. Cheque Deposits machine - CDM
4. Electronic funds transfer point of sales
on
5. Tele banking
ee
6. Internet banking Online banking
7. Television banking (½ × 4 = 02 marks)

(iv) (a) Lanka Clear (Pvt) Ltd. (01 mark)

.b

(b) 1. Real Time Gross Settlement System (RTGS)

2. Scriptless Security Depository System (SSDS) (½ × 2 = 01 mark)
w

(v) (a) 1. Cheque number

2. Bank number, branch number
w

3. Current account number (½ × 3 = 01½ mark)

(b) Cheque number (½ mark)
w

06. (i) Statement A – Liability insurance (1 mark)

Statement B – Subrogation principle (1 mark)

(ii) 2. (A) External (B) Written (C) Electronic (½ mark)

3. (A) External (B) Sign & signal (C) Non-electronic (½ mark)
4. (A) External (B) Written (C) Non-electronic (½ mark)
5. (A) Internal (B) Verbal (C) Non-electronic (½ mark)

Grade - 12 (2022) Term examination (FWC) - 2022 - 6 - Business Studies

 (iii) Way – highway> railway (½ mark)
Medium – three-wheeler> rain (½ mark)
Power – petrol> diesel (½ mark)
Terminal – railway station (½ mark)

(iv) (a) The retail businesses where the customers purchase goods by ordering through telephone, fax,
internent and catalog without going directly to sales outlets.
(01 mark)
(b) 1. Direct mail 2. Catalog
3. Telephone 4. Television

g
5. Fax 6. Internet (½ × 2 = 01 mark)
(v) (a) Getting goods from cost least method whether by producing or importing is comparing cost

or
advantage. (01 mark)
(b) 1. Import limit
2. Export limit

.
3. Import and export barrier
4. Trade agreements
5. Rigid foreign exchange control
on (½ × 2 = 01 mark)
ee
.b
w
w
w

Grade - 12 (2022) Term examination (FWC) - 2022 - 7 - Business Studies

 www.beeon.org

3rd Term Examination G.C.E. (A/L) – 2023

National Field Work Center, Thondaimanaru
FWC

Grade 12 (A/L) 2023 Business Studies I Time: 3 hours & 10 Min.

Instructions:
Index Number:………………..
• Answer all the questions on this question paper itself.
• Write your Index Number clearly in the space provided above. For examiner’s use only
• Select the correct answers for the questions No. 1 – 15 and write Q.No. Marks
its number on the dotted lines given. 1 – 15
• Write short answers for the questions No. 16 – 25 on the dotted 16 – 25
lines given.

g
• Each question carries two marks. TOTAL
01. Select the answer which contains the characteristics of business,

o r
.
(1) motivated by profit, creating wants, existence of risk, having an organizational structure

n
(2) existence of transactions, having an objective, having a name, sales or exchange
(3) existence of risk, continuous transactions, sales or exchange, having legal transactions

o
(4) having legal transactions, having objective, motivated by profit, carrying out various transactions

e
(5) continuous transactions, creating wants, an economic activity, sales or exchange (…...)

e
02. Select the answer related to task environment.

b
(1) Implementation of labour acts (2) Individual values

.
(3) Exit of competitors from market (4) Less experience of employees

w
(5) Invention of natural resources (…...)

w
03. Contributions of business in relation to sustainable development are given below.
A – Protection of bio diversity

w
B – Efficient use of resources
C – Employee welfare facilities
D – Protection of law and peace
E – Development of exchange and transaction process
F – Protection of human rights
Which of the above can be considered as contributions for economic sustainable development?
(1) A, B, E (2) B, C, E (3) D, E, G
(4) B, E, F (5) A, D, G (…...)

04. To which consumer responsibility is ‘Disclosing fair price’ related?

(1) Active participation (2) Environmental concern
(3) Co-operation with others (4) Critical awareness
(5) Social concern (…...)

05. Statement A – All private sector businesses are not profit oriented business organizations.
Statement B – Co-operative society and clubs and associations are private sector businesses and they are
not profit oriented businesses.
Out of the above statements,
Grade 12 (2023) - NFWC -1- Business Studies I – 3rd Term Examination 2023
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(1) Statement A is correct and Statement B is incorrect.
(2) Statement A is incorrect and Statement B is correct.
(3) Statements A and B are incorrect.
(4) Both statements are correct and Statement B is described through statement A.
(5) Both statements are correct and Statement B is not described through statement A. (…...)

06. A limited public limited company differs from a private limited company in the case of,
(1) legal personality (2) limited liability (3) maximum number of directors
(4) issue of shares to public (5) minimum number of shareholders (…...)

07. The following table provides new trends of entrepreneurship and their objectives.
New trends of entrepreneurship Objectives
1. Social entrepreneurship A – Protection of natural environment
2. Internal entrepreneurship B – Providing ability to operate beyond the
political boundary

g
C – Changing the world into a best place

r
3. Global entrepreneurship
4. Green entrepreneurship D – Changing the organization

. o
Select the answer which contains the correct order of objectives in accordance with the order of new trends

n
of entrepreneurship.

o
(1) C, D, B, A (2) D, C, A, B (3) A, D, B, C
(4) C, A, B, D (5) A, B, D, C (…...)

e e
08. Select the answer which does not match the institutions which classify the small businesses and relevant
criteria.

.b
Institutions Criteria
1. Statistic and Census Department Number of employees less than 25

w
2. Central Bank of Sri Lanka Power consumption less than 50 KW
3. Industrial Development Ministry Capital invested not more than Rs. 20 million

w
4. Small Industrial Department Number of employees less than 50

w
5. Industrial Development Board Capital invested not more than 4 million
(…...)
09. The financial institution which is formed after getting license from Security Exchange Commission of Sri
Lanka is,
(1) Licensed Sun Credit Company (2) Insurance company (3) Share broker company
(4) Employee Provident Fund (5) Thrift Credit Co-operative Society (…...)

10. If a cheque contains ‘not negotiable’ between its cross lines,

(1) particular cheque cannot be endorsed to anyone else.
(2) payee can deposit in his account only.
(3) It can be encashed directly at bank counter.
(4) The transferee (endorsee) will not get full right on the cheque, when it is endorsed.
(5) The payee can cross the cheque. (…...)

Grade 12 (2023) - NFWC -2- Business Studies I – 3rd Term Examination 2023
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11. Which of the following statement is not related to life insurance?
(1) Life insurance certificate can be endorsed. (2) Certain risk
(3) Can be considered as savings. (4) Indemnity principle not applicable
(5) Contribution and subrogation principles are not applicable.

12. E-mail is,

(1) a verbal, internal and electronic communication.
(2) a written, external and electronic communication.
(3) a sign and signal, external and electronic communication.
(4) a written, external and electronic communication.
(5) a verbal, external and electronic communication.

13. Compared to high way transport, in railway transport,

Capacity Cost Security
(1) High High Less

r g
(2) Less High High
(3) Less High Less

. o
(4) High Less High
(5) Less Less High

o
14. The documents used by importer to prepare import entry are,
(1) invoice, insurance certificate n
(2) insurance certificate, letter of credit

e
(3) letter of credit, bill of lading (4) invoice, bill of lading

e
(5) indent, insurance certificate

. b
15. Which of the following is trade zone?
(1) World Trade Organization (WTO) (2) Asian Development Bank (ADB)

w
(3) G-7 (4) International Monetary Fund (IMF)
(5) Asia Pacific Trade Agreement (APTA)

w
⚫ Fill the blanks in the questions 16 – 20 with the relevant words.

w
16. (a) Secondary production includes ………………………… industry and ……………………….. industry.
(b) ………………………… means to act favourably to all the interested parties acknowledging the good
and bad. Further, when it is presented in writing, it is called as ………………………………….

17. (a) ………………………… and ………………………….. of treasury bills and bonds by Central Bank of
Sri Lanka is called as open market operations.
(b) Decisions are taken by ………………………………. in sole proprietorship business but in partnership
business, it is made by ……………………………… of partners.

18. (a) The first step of entrepreneurial process is …..……………………………………… and the last step is
…………………………………...
(b) A foot manufacturing business plans to expand the its business. Two alternatives for it are given below.
A – Joining with another foot manufacturing business
B – Joining with leather manufacturing business
In the above, A stands for ……………………………… combination and statement B stands for
………………………………. combination.

Grade 12 (2023) - NFWC -3- Business Studies I – 3rd Term Examination 2023
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19. (a) In relation to the parties related to cheque, the person who is named in the cheque is called as
……………………………….. and the commercial bank which is liable to pay for cheque is called as
…………………………………….
(b) The loan obtained through maintaining current account is ………………………………. but current
account is not required to obtain ………………………………. loan.

20. (a) In relation to the parties related to insurance, the parties who accept the insurance proposal are called
as ……………………………… and the parties who submit the insurance proposal are called as
……………………………………
(b) Inbound logistic shows the movement from ………………………….. to …………………………..

⚫ Write the short answers for the questions 21 – 25 in the dotted lines given.
21. Write four weaknesses in the case of employees of a business.
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………

g
(3) ……………………………………………………………………………………………………………

r
(4) ……………………………………………………………………………………………………………

. o
22. State four trade malpractices which can affect consumers.

n
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………

o
(3) ……………………………………………………………………………………………………………

e
(4) ……………………………………………………………………………………………………………

e
23. Provide the four parties related to e-money transactions.

. b
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………

w
(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………

w
24. Write any four details included in a bill of lading.

w
(1) ……………………………………………………………………………………………………………
(2) ……………………………………………………………………………………………………………
(3) ……………………………………………………………………………………………………………
(4) ……………………………………………………………………………………………………………

25. Write the names of the following express ways which were in use and under construction.
(1) E-01 - …………………………………………………….
(1) E-02 - …………………………………………………….
(1) E-03 - …………………………………………………….
(1) E-04 - …………………………………………………….
(1) E-05 - …………………………………………………….

*****

Grade 12 (2023) - NFWC -4- Business Studies I – 3rd Term Examination 2023
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3rd Term Examination G.C.E. (A/L) – 2023

conducted by Field Work Center
FWC

Grade 12 (A/L) 2023 Business Studies II

Instructions:
• Answer five questions selecting at least two questions from each part.

Part I
01. Abinaya conducts an ayurvedic medicines producing business. She has completed her field related course
and she has a specialized experience. She conducts a sales stall to sell her medicinal products and she fulfills
online orders too.

g
(i) (a) Categorize the business of Abinaya in accordance with the following criteria.

r
1. Ownership

o
2. Objective

.
(b) Name the human need fulfilled by this business. (01 mark)

n
(ii) Abinaya’s business is a goods manufacturing business and a service producing business (a mixed-

o
producing business). Do you accept this statement? Describe your answer. (02 marks)
(iii) In the above case, what do you mean by “she has a specialized experience.”? Describe two advantages

e
of it. (02 marks)

e
(iv) Depict the process of producing Ayurveda medicines in a diagram as input and output process.

b
(02 marks)

.
(v) (a) Explain a strength that Abinaya has.

w
(b) Describe two reasons for the popularity of online sales activities at present. (02 marks)
(Total 10 marks)

w
02. (i) State the relevant macro environment to which the following statements are related.
(a) Educational level of Sri Lanka is in higher rate continuously.

w
(b) Britain left European Union.
(c) The price levels of goods and services increase continuously.
(d) Discipline is maintained properly in some schools even at present. (02 marks)
(ii) (a) What do you mean by ‘social responsivity’?
(b) State two social responsibilities to be fulfilled by a business in favour of owner. (02 marks)
(iii) Contributions of businesses only are not enough for sustainable development. Do you accept this
statement? Describe the reasons your answer. (02 marks)
(iv) State four factors to be considered in developing code of business ethics. (02 marks)
(v) The base facilities required for business activities are infrastructure facilities. Write the various levels
of government and the infrastructure facilities provided by each level of government. (02 marks)
(Total 10 marks)
03. Use the following fact to answer the questions (i) and (ii).
‘Aruvi’ is a famous garments business where 4 000 male and female employees are working between age
limit 18 and 30. The products of this business are exported to America and European counties. It pays tax
based its profit.
(i) Mention the economic objectives that can be achieved by the above business. (02 marks)
(ii) Explain two contributions of the above business to achieve economic objectives. (02 marks)

Grade 12 (2023) 2023 May - FWC -1- Business Studies II – 3rd Term Examination
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(iii) (a) Mention two methods used by Sri Lanka Standard Institution to implement standards.
(b) Name two public sector business organizations. (02 marks)
(iv) Write two advantages and two disadvantages of converting a sole proprietorship business into a
partnership business. (02 marks)
(v) Provide the solutions for the following issues that can arise in a partnership business with reference to
Section 24 of Partnership Ordinance 1890.
(a) in relation to admitting a new partner
(b) in relation to interest on capital
(c) in relation to participation in management by partners
(d) in relation to any issue arising in partnership business (02 marks)
(Total 10 marks)
Part II
04. (i) Cargills business obtained the license from KFC to start its business activities in Sri Lanka in 1995.
Name the relevant franchise business for it and define that kind of franchise business. (02 marks)

g
(ii) (a) Explain about the voting rights in a co-operative society and in an incorporated company.

r
(b) What do you mean by ‘acquisition’? (02 marks)
(iii) (a) State two advantages a person can obtain by involving in social entrepreneurship.

. o
(b) Write the entrepreneurial traits. (02 marks)

n
(iv) List the quantitative criteria used to identify small and medium scale businesses. (02 marks)
(v) The problems raised by two businessmen are as follows.

o
Pavi – “I cannot capture the market, if I continue to use the existing machinery items. But if I use new

e
machinery items, I can enter into foreign market.”

e
Piew – “My problem is that there is no any possibility to sell goods in the market. If I am able to sell
goods, I can improve in my business.”

. b
State the incentives to be provided to those two businessmen and write the relevant institutions which
provide those incentives. (02 marks)

w
(Total 10 marks)
05. (i) (a) State two characteristics of near money.

w
(b) Write two examples for near money. (02 marks)

w
(ii) (a) Mention two institutions which direct and control the financial institutions in Sri Lanka.
(b) Provide two functions of share brokering companies. (02 marks)
(iii) Write two financial infrastructure facilities provided by Lanka Clear (Pvt) Ltd. (02 marks)
(iv) Differentiate bank loan and bank overdraft. (02 marks)
(v) (a) State two occasions where a cheque is endorsed.
(b) Name two popular international credit card associations. (02 marks)
(Total 10 marks)
06. (i) Fire insurance can be expanded by paying some extra insurance premium. State any such four risks
which can be included under fire insurance. (02 marks)
(ii) (a) Show the basic process of communication in a diagram.
(b) Explain the usage of intercom. (02 marks)
(iii) (a) State two tools used to handle goods in warehouse.
(b) Explain how storage is important for a businessman. (02 marks)
(iv) Write an example for the following which can be the ways of using modern technologies in retail trade.
(a) Weighing (b) Monitoring
(c) Pricing (d) Security (02 marks)
(v) Differentiate whole trade and retail trade. (02 marks)
(Total 10 marks)
Grade 12 (2023) 2023 May - FWC -2- Business Studies II – 3rd Term Examination
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*****

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Grade 12 (2023) 2023 May - FWC -3- Business Studies II – 3rd Term Examination
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 www.beeon.org

Njrpa ntspf;fs epiyak; njhz;ilkhdhW

%d;whk; jtizg; guPl;ir - 2023
National Field Work Centre, Thondaimanaru
3rd Term Examination - 2023
FWC

Grade :- 12(2023) Business Studies Marking Scheme

Part – I
01) 5 06) 4 11) 1
02) 3 07) 1 12) 2
03) 2 08) 4 13) 4
04) 1 09) 3 14) 4
05) 4 10) 4 15) 3

g
(15 x 2 = 30 marks)

r
16) a) Manufacturing, construction 2x ½ = 01 mark

o
2x ½ = 01 mark

.
b) Ethics, code of ethics

2x ½ = 01 mark

n
17) a) purchase, sales
b) independently, unity

o
18) a) Discover / Innovation 2x ½ = 01 mark

e
b) horizontal / vertical 2x ½ = 01 mark

e
19) a) payee, drawee 2x ½ = 01 mark

b
b) Bank overdraft, bank 2x ½ = 01 mark

.
20) a) Insurer / Insurance company, insured 2x ½= 01 mark

w
b) Supplier, producer 2x ½= 01 mark
21) i) Lack of training

w
ii) Lack of experienced employees
iii) No dedication of employees

w
iv) Absenteeism of employees and employee turnover
(Consider other acceptable answer.) 4x½ = 2 marks
22) i) Changes in price
ii) Selling expired goods
iii) Changing expiry date
iv) Creating artificial shortage of goods
v) Providing fake information
vi) Fraudulent activity in weight and measurement
vii) Providing low quality goods
viii) In appropriate advertising
ix) Selling goods under conditions
x) Fraudulent financial activity 4 x = 2 marks
23) i) Trader / Seller / Businessman
ii) Cardholder
iii) Credit card
iv) Bank
4x½=2 marks

Grade - 12 (2023) 3rd Term – 2023 FWC 1 Business Studies

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24) i) Details about goods

ii) Name of exporter
iii) Name of importer
iv) Name of ship
v) Harbour details
4x½ = 2 marks

25) i) E01 – Southern Expressway

ii) E02 – Colombo Outer Circular Expressway
iii) E03 – Colombo – Kattunayake Expressway
iv) E04 – Central Expressway
4x½= 2 marks

Part - II

g
01) i) a) 1. Private sector business

r
2. Profit oriented business 2 x = 1 marks

. o
b) Health 2 x = 1 marks

n
ii) Yes 1 marks
As this business produces ayurvedic medicine, it can be considered as a goods manufacturing

o
business. And, it conducts a selling section to sell medicines. Therefore, it can be considered as

e
service providing business. (1 mark for complete answer)

e
iii) Specialization (1 marks)

b
 Increase in productivity

.
 Quality in product
 Time can be saved.

w
 Waste can be minimized.

w
(2 x = 1 marks)
iv)

w
Input Process Output
Land Production
Land the business is located. Producing ayurvedic medicine
Labour Marketing
Working time of employee Selling ayurvedic medicine
Capital Finance
Machine and equipment used to Financial activities
produce medicine
Entrepreneurship Administration
Ayurvedic medicine selling Maintaining employee files
Medicine
section
Knowledge Human resource
Knowledge about production of Maintaining employee attendance
medicines report
Information Research & Development
Information about new Information about production
technology
Time Information management
Working time of employees Update of information
(Give marks, if basic process is included.)

Grade - 12 (2023) 3rd Term – 2023 FWC 2 Business Studies

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v) a) Completion of a course, experience (1 mark)

b)  Availability of infrastructure facilities to carry out electronic activities
 Global market opportunity
 Time can be saved.
 24 / 7 service
 Quick service
 No use of written document
 Less operating cost and inventory cost
 Increase in quality of goods and services
 Increase in computer knowledge (2x½ = 2 marks)

02) i) a) Demographic environment

b) Global environment

g
c) Economic environment

r
e) Social and cultural environment (4 x ½ = 2 marks)

. o
ii) a) Social responsibility is to perform business activities in an unbiased way to all the stakeholders.

n
(1 marks)
b)  Providing fair earnings

o
 Providing economic benefits

e
 Carrying out management activities efficiently and fairly (2 x ½ = 1 marks)

e
iii) Yes (01 mark)

b
Because, all world economic society should contribute for sustainable development actively.

.
(Provide marks considering students’ answer)
iv)  Business

w
 Customers

w
 Employees
 Competitors

w
 Organizational culture
 Practicability
 Social culture (4 x ½ = 2 marks)

03) i)  Economic growth and development

 Full employment
 Fair income distribution
 Fair international trade (4 x ½ = 02 marks)

ii) Tax payment – Paying tax to government without fail

Contribution to employment opportunities – Use of human resources in production activities
(To name 2 x ½ = 1 marks)
(To explain 2 x ½ = 1 marks)

Grade - 12 (2023) 3rd Term – 2023 FWC 3 Business Studies

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iii) a)  Independent method

 SLS certificate
 Full export test
 HACCP
 Import test (2 x ½ = 1 marks)

b)  State department
 State corporation / board / authority / bureau
 State company
 Businesses under provincial council
 Businesses under local authority
(2 x ½ = 1 marks)

iv)

r g
Advantages Disadvantages
 

o
More capital can be collected. Profit is shared among many persons.

.
 Effective decision making  Delay in decision making

n
 Losses can be shared many persons.  Possibility for conflicts

o
 Increase in ability to take risk increase 

e
(Advantages 2 x ½ = 1 marks)

e
(Disadvantages 2 x ½ = 1 marks)
(Consider the relevant answers of the student.)

v) a) Consent of all partners is required.

. b
w
b) No interest on capital
c) All partners have right to participate in management.

w
d) Decisions must be taken with the majority of partners (4 x ½ = 2 marks)

w
04) i)  Business format franchise (01 marks)
 Giving license to conduct the business in the name and format of franchisor (01 marks)

ii) a) Co-operative – one vote for one person

Incorporated company – Votes based on the number of shares (1 mark)
b) Purchasing more ordinary share capital of a company by another company is called acquisition.
(01 marks)
iii) a) Satisfaction
Appreciation
Praise (2 x ½ = 1 marks)

b)  Willingness to take risk

 Creativity
 Dedication
 Self-confidence
 Independence (2 x ½ = 1 marks)

Grade - 12 (2023) 3rd Term – 2023 FWC 4 Business Studies

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iv)  Capital
 Number of employees
 Power consumption
 Annual sales turnover
 Scale of production
 The value of non-current assets (4 x ½ = 2 marks)

v) Pavi – Technical knowledger / Research technical services (½ mark)

Institution – Industrial Development Board (½ mark)
Piew – Marketing facilities (½ mark)
Institution – Industrial Development Board or Small Medium Entrepreneurial Board (½ mark)

05) i) a) Performing store of wealth

r g
. o
Liquidity (2 x ½ = 1 mark)

n
(Consider alternative answer given by the students.)

o
b)  Treasury bills

e
 Fixed deposit

e
 Savings deposit

b
 Commercial paper (2 x ½ = 1 mark)

.
w
ii) a)  Central Bank of Sri Lanka

w
 Securities and Exchange Commission of Sri Lanka
 Co-operative Development Department

w
 Insurance Regulatory Commission (2 x ½ = 1 mark)

b)  Help to open account in Central Depository Sytem in favour of investor

 Fulfilling purchase and sales order of investors
 Providing consultation in relation to shares and debenture investment
 Supporting in listing companies
 Supporting public companies to collect capital
 Preparing market evaluation report not only analyzing share market
(2 x ½ = 1 mark)

iii)  Sri Lanka Interbank Payment System

 Lanka pay (2 x 1 = 2 marks)
(Consider the alternative answer given by students.)

Grade - 12 (2023) 3rd Term – 2023 FWC 5 Business Studies

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iv)

Bank loan Bank overdraft

1. Current account not required Current account required
2. Can obtain from commercial banks and other banks Can be obtained only at commercial banks
3. Less interest Higher interest
4. Can obtain for any need Requirement of working capital
5. Generally long term Short term loan
6. Obtained at a certain rate with agreement to be A facility to provide more cash than the
repaid in installment basis balance in the account
(2 x ½ = 1 mark)

v) a)  When payee deposits the cheque at bank



g
When endorsed an order cheque to anyone else

r
 When an uncrossed is encashed at bank counter (2 x 1 = 2 mark)

. o
b)  Visa

n
 Master
 AMEX

o
 Discover (2 x ½ = 1 mark)

06) i) 1. Loss by strike or riots

e e
b
2. Loss by blast

.
3. Damage due to power leakages
4. Earth quake / tsunami

w
5. Flood / thunder / draught

w
6. Aircraft accident
7. Damage due to riots (4 x ½ = 2 marks)

ii) a)
Sender w Message Medium Receiver

Feedback Response

(1 mark for complete answer)

b)  Relevant to provide information within the business

 Information can be provided individually (1 x 1 = 1 marks)

iii) a)  Fork Life

 Pallet Jaeckes
 Convey Yorbelts)
 Fork Lift tracs (2 x ½ = 1 marks)

Grade - 12 (2023) 3rd Term – 2023 FWC 6 Business Studies

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M)  To carry out production activities continuously

 To carry out distribution and marketing continuously
 Goods can be protected. (2 x ½ = 1 marks)

iv) m) Digital scale

M) CCTV Camera
,) Bar Cord)> (QR Code)
<) PIFD (Radio frequency Identification (4 x ½ = 2 marks)
v)
Whole trade Retail trade
 For resale  For final consumption
 Comparatively low cost  Comparatively high price
 Bulk transaction  Less quantity transaction
 Less competition  Higher competition

g
 Wide area  Limited area

r
 Limited goods exchange  Variety of goods

o
 

.
Larger investment Less investment
 More discount  Less discount

n
(2 x 2 = 2 marks)

e o
b e
.
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Grade - 12 (2023) 3rd Term – 2023 FWC 7 Business Studies

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