REPUBLICAN INTERNATIONAL SCHOOL NUWARA ELIYA FIRST TERM TEST 2011/2012 BUSINESS STUDIES GRADE 10A/B Name-...............................................

PART I Underline the most appropriate answer out of the four alternatives given. 1. Business is a. any activity which is done with the purpose of getting profits. b. any activity which fulfills human needs and wants. c. producing and delivering products. d. an agreement between two parties. 2. A housewife uses the vegetables grown in her own garden for the consumption of her family. This production activity is known as a. indirect production. b. flow production. c. direct production. d. batch production. 3. Select the group which includes only needs. a. books, health, food, water. b. food, water, cottage, education. c. food, water, clothing, shelter. d. air, clothing, shelter, car. 4. Select the environment where the factors such as internet, e-mail and credit cards come under. a. Economic Environment. b. Legal Environment. c. Social and Cultural Environment. d. Technological Environment. 5. The people who help the producers in distributing the products are called a. middlemen. b. retailers. c. wholesalers. d. agents. Duration-21/2 Hours

6. Which of the following is not a non-profit oriented business? a. Government Companies. b. Societies. c. Co-operatives. d. Government Departments. 7. A society can be registered under Companies Act as a a. government company. b. charitable company. c. social service organization. d. None of the above is correct. 8. The number of partners in a partnership business can be a. 01-20 b. 02-20 c. 04-20 d. 04-40 9. Select the list which has only goods. a. tea, banking, shoes, pens. b. books, advertisements, furniture, computer. c. pens, ornaments, sari, car. d. gold, healthcare, medicine, house. 10. Select the most correct statement. a. Needs are ways of fulfilling wants. b. Wants are common for all. c. Wants are essential for survival. d. Wants are the ways of fulfilling needs. (2x10 =20 Marks) State if the following are True or False. 1. Sole proprietorships can be owned only by one person. ( ______________ ) 2. A business can work only with a profit motive. 3. Services are intangible. ( ______________ ) ( ______________ )

4. Inflation is a component of the Economic Environment.( ______________ ) 5. Manufacturing comes under tertiary production. ( ______________ ) (2x5=10 Marks)

PART II Answer all the questions. 1) Draw flow charts for any three of the following. i) Types of production. ii) Classification of businesses based on ownership. iii) Classification of businesses based on motive. iv) Types of companies. (15 Marks) 2) Give 5 advantages and 5 disadvantages of partnerships. (10 Marks) 3) Name the laws that control the activities of i) Partnerships. ii) Companies. iii) Co-operatives. (03 Marks) 4) Write short notes on any five of the following. i) Needs. ii) Uni-Banking. iii) Goods. iv) Services. v) Primary Production. vi) Sole Proprietorships. vii) Economic Environment. (20 Marks) 5) i) What is production? ii) What is distribution? iii) Draw the production process chart for the production of a wooden table? (10 Marks) 6) Give 4 differences between Needs and Wants. (08 Marks) 7) List 2 characteristics of goods and 2 characteristics of services. (04 Marks)