CARIBBEAN E XAM I NAT I O N S COUNCIL

CARIBBEAN SECONDARY EDUCATION CERTIFICATE®

EXAMINATION
‘‘*’’Barcode Area”*”
Front Page Bar Code
11 JANUARY 2022 (a.m.)

FILL IN ALL THE INFORMATION REQUESTED CLEARLY IN CAPITAL LETTERS.

TEST CODE 0 1 2 4 0 0 2 0

SUBJECT PRINCIPLES OF BUSINESS – Paper 02

PROFICIENCY GENERAL

REGISTRATION NUMBER

SCHOOL/CENTRE NUMBER

NAME OF SCHOOL/CENTRE

CANDIDATE’S FULL NAME (FIRST, MIDDLE, LAST)

‘‘*’’Barcode Area”*”

D D M M Y Y Y Y
Current Bar Code

DATE OF BIRTH

SIGNATURE __________________________________________________

‘‘*’’Barcode Area”*”
Sequential Bar Code
 DO
NO
W T
RI
TE
TH ON
IS
PA
GE
 TEST CODE 01240020
FORM TP 2022031 JANUARY 2022

CARIBBEAN E XAM I NAT I O N S COUNCIL

CARIBBEAN SECONDARY EDUCATION CERTIFICATE®

EXAMINATION

PRINCIPLES OF BUSINESS

2 hours

READ THE FOLLOWING INSTRUCTIONS CAREFULLY.

1. This paper consists of FIVE questions. Answer ALL questions.

2. Write your answers in the spaces provided in this answer booklet.

3. Do NOT write in the margins.

4. You are advised to take some time to read through the paper and plan your answers.

5. If you need to rewrite any answer and there is not enough space to do so on the
original page, you must use the extra lined page(s) provided at the back of this
booklet.

6.

DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO.

Copyright © 2021 Caribbean Examinations Council

All rights reserved.
01240020/J/CSEC 2022 ‘‘*’’Barcode Area”*”
Sequential Bar Code
 -4-

DO NOT WRITE IN THIS AREA

1. Jane studied Principles of Business while attending high school and was inspired to own and
operate a business in her community.

(a) State FOUR reasons why Jane would want to establish her own business.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

.............................................................................................................................................

DO NOT WRITE IN THIS AREA

(b) List THREE characteristics Jane would need to possess in order to become a successful
entrepreneur.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

(c) State THREE reasons why Jane should conduct a feasibility study prior to establishing
her business.

..............................................................................................................................................
DO NOT WRITE IN THIS AREA
..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

.............................................................................................................................................

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 -5-

(d) State ONE role of any TWO stakeholders that will be involved in Jane’s business.
DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

.............................................................................................................................................

(e) Explain TWO ways in which Jane’s business could contribute to the social and economic
development of her country.

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

.............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

.............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

.............................................................................................................................................

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 -6-

2.

DO NOT WRITE IN THIS AREA

of its business transactions.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

(b) Outline the purpose of EACH of the following types of business documents.

(i) Pro forma invoice

DO NOT WRITE IN THIS AREA

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

(ii) Purchase requisition

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

................................................................................................................................. DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 -7-

(c) List THREE types of non-life insurance policies.

DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

(d) Describe TWO principles upon which insurance is based.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 -8-

(e) Explain TWO ways in which insurance could be used to lower the risks associated with

DO NOT WRITE IN THIS AREA

business.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 -9-

3.
DO NOT WRITE IN THIS AREA

................................................................................................................................

................................................................................................................................

................................................................................................................................

(ii) Identify TWO types of public relations activities that are popular in the Caribbean.

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................
DO NOT WRITE IN THIS AREA

communities.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 10 -

DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

DO NOT WRITE IN THIS AREA

..............................................................................................................................................

DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 11 -

(d) Explain TWO ways in which a government can protect consumers through its consumer
DO NOT WRITE IN THIS AREA

organizations.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................
DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 12 -

4.

DO NOT WRITE IN THIS AREA

(i) Logistics

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

(ii) Supply chain operations

.................................................................................................................................

.................................................................................................................................

DO NOT WRITE IN THIS AREA

.................................................................................................................................

.................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................
DO NOT WRITE IN THIS AREA
.............................................................................................................................................

.............................................................................................................................................

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 13 -

(c) Outline THREE roles of transportation in the marketing of goods.

DO NOT WRITE IN THIS AREA

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................
DO NOT WRITE IN THIS AREA

.............................................................................................................................................
DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 14 -

DO NOT WRITE IN THIS AREA

Caribbean to the USA.

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

DO NOT WRITE IN THIS AREA

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 15 -

5. (a) (i) State TWO functions of the Caribbean Community (CARICOM).

DO NOT WRITE IN THIS AREA

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................
DO NOT WRITE IN THIS AREA

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................
DO NOT WRITE IN THIS AREA

.............................................................................................................................................

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 16 -

(c) State FOUR reasons why foreign businesses may be willing to invest in the Caribbean

DO NOT WRITE IN THIS AREA

region.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

DO NOT WRITE IN THIS AREA

..............................................................................................................................................

..............................................................................................................................................

(d) Outline TWO ways in which human resource development could assist in reducing the
economic problems of CARICOM countries.

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

..............................................................................................................................................

.............................................................................................................................................. DO NOT WRITE IN THIS AREA

GO ON TO THE NEXT PAGE

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 17 -
DO NOT WRITE IN THIS AREA

its production levels.

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................
DO NOT WRITE IN THIS AREA

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................

.............................................................................................................................................
DO NOT WRITE IN THIS AREA

END OF TEST

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code
 - 18 -

EXTRA SPACE

DO NOT WRITE IN THIS AREA

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

DO NOT WRITE IN THIS AREA

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

........................................................................................................................................................................... DO NOT WRITE IN THIS AREA

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

...........................................................................................................................................................................

01240020/J/CSEC 2022
‘‘*’’Barcode Area”*”
Sequential Bar Code