END OF TERM EXAMINATION
McGrath High School
Business and Information Technology Department
Principles of Business
GRADE: 4A4 NAME:
TIME: 1 HR 30 MINS
Answer All Questions
1. Which of the following factors is LEAST encountered in distribution?
likely to affect the location of a business? I. Spoilage of goods
a) Weather condition II. Inadequate warehousing
b) Availability of labour III. Ineffective communication
c) Suitable infrastructure a) I and II only
d) Availability of raw material b) I and III only
c) II and III only
2. Which of the following documents gives d) I, II and III
the name
of the ship and full particulars of the 6. The link in the distribution chain that BEST
shipment of goods? describes the breaking of bulk goods into
a) Bill of sale smaller packages is called
b) Airway bill a) retailer
c) Broker's bill b) consumer
d) Bill of lading c) wholesaler
d) manufacturer
3. Advantages of supply chain operations
include 7. A system of organizing people, activities,
I. wealth creation information and resources involved in
II. job opportunity moving a product or service from supplier
III. better quality life to customer can BEST be described as
a) I and II only a) logistics
b) I and III only b) airway bills
c) II and III only c) intermodal transport
d) I,II and III d) supply chain operations
4. Which of the following describes planning, 8. What is the name of the document used as
implementation, forward and reserve flow the receipt of goods by an airline carrier and
of goods and services and related as
information between two destinations to a contract of carriage between the shipper
satisfy customers’ requirement? and the carrier?
a) Logistics a) Insurance
b) Airway bill b) Airway bill
c) Globalization c) Bill of lading
d) Multimodal transport d) Import license
5. Which of the following problems are likely 9. Which of the following is NOT a function
to be of the retailer?
a) Preparing goods for resale d) The management of financial transactions
b) Selling goods in small quantities in a business
c) Providing a local supply of goods
d) Transporting goods to suitable storage 14. The primary objective of Supply Chain
facilities Management is.
a) To increase marketing expenses
10. In business, logistics is defined as b) To improve customer satisfaction and
a) Selling goods in small quantities reduce operational costs
b) Providing and managing data from c) To design new products
conception, production and storage to d) To increase employee salaries
retrieval using all systems to move an
idea from conception to production and 15. A key benefit of effective supply chain
then sales management is?
c) managing resources from the point of a) Increased product defects
acquisition, storage, and transportation to b) Higher operational costs
their final destination c) Improved customer service
d) formulating a business idea, d) Longer lead times
systematically gathering data, then
following through to production 16. Which of the following is LEAST likely
to occur with reverse flow?
11. Which of the following a global logistics a) Goods are returned
provider? b) Goods are recycled
c) Goods are repaired and reused
a) GIS d) Goods are sold
b) GPS
c) DHL 17. 3PL stands for
d) Portnet a) three points logistics
b) third party logistics
12. Which of the following would be the c) three points location
final step in a supply chain operation d) none of the above
a) Transformation of natural resources into
finished products 18. The term for the process of obtaining
b) Movement to and storage of goods or services from an external source is?
raw materials in the warehouse a) Manufacturing
c) Processing of raw materials b) Procurement
and components into finished goods c) Distribution
d) Delivering the finished product from d) Retailing
point of origin to point of destination
19. Which of the following is not a part of a
13 Supply Chain Management involves? Distribution Chain?
a) The process of hiring and training
employees a) Retailer
b) The management of the flow of goods and b) Manufacturer
services from raw materials to the final c) information flow
product delivered to the consumer d) Wholesaler
c) The process of creating marketing
strategies
20. Logistics is the part of supply chain
involved with the forward and reverse flow of
a) Goods
b) services
c) Cash
d) all of the above
SECTION 2
Answer all questions
1. (a) Define EACH of the following forms of technology used in business.
(i) E-commerce
(ii) Global positioning system (GPS) (4 marks)
(b) List FOUR activities involved in supply chain operations. (4 marks)
(c) Outline THREE advantages of supply chain operations to a firm. (6 marks)
(d) Explain TWO ways in which logistics could improve the competitiveness of a business.
(6 marks
Total 20 marks
2. (a) Define the following terms
i. Logistics
ii. Supply Chain Management (2 marks)
(b) Outline the Role of transportation on the Marketing of Goods (4 marks)
( c) Discuss TWO differences between an Airway Bill and Bill of Lading (4 marks)
(d) Discuss TWO problems an Agricultural firm may have when distributing bananas from
Jamaica to the USA. (4 marks)
(e)Alex is in the Business of importing exotic food items for several local restaurants and hotels
on the island
i. Discuss TWO problems that he may likely encounter when obtaining foods from his various
distributors around the world. (4 marks)
ii. For EACH problem identified, Explain ONE measure which could be implemented to
reduce or prevent its occurrence. (2 marks)
Total 20 marks
