Cambridge Assessment International Education
Cambridge International General Certificate of Secondary Education
*4392321930*
BUSINESS STUDIES 0450/11
Paper 1 May/June 2019
1 hour 30 minutes
Candidates answer on the Question Paper.
No Additional Materials are required.
READ THESE INSTRUCTIONS FIRST
Write your centre number, candidate number and name in the spaces at the top of this page.
Write in dark blue or black pen.
You may use an HB pencil for any diagrams, graphs or rough working.
Do not use staples, paper clips, glue or correction fluid.
DO NOT WRITE IN ANY BARCODES.
Answer all questions.
The businesses described in this question paper are entirely fictitious.
At the end of the examination, fasten all your work securely together.
The number of marks is given in brackets [ ] at the end of each question or part question.
The total number of marks for this paper is 80.
This syllabus is regulated for use in England, Wales and Northern Ireland as a Cambridge International Level 1/Level 2 Certificate.
This document consists of 9 printed pages and 3 blank pages.
06_0450_11_2019_1.9
© UCLES 2019 [Turn over
, 2
1 Y2M is a bus operating company in the public sector. One of its objectives is to break even on
every bus route. Most of its competitors are in the private sector. Y2M wants to increase the number
of customers using its buses. The Finance Director has been looking at some cost data shown in
Table1. This is because Y2M plans to review its pricing methods. She is worried other businesses
pay workers a higher wage rate and some of its drivers may leave. She said: ‘To pay the same
wage rate would increase variable cost to $2.20 per passenger per journey.’
Table 1: Cost and price data for one Y2M route
Number of passengers per day 90
Price per passenger per journey $2.50
Fixed costs per week $300
Variable cost per passenger per journey $2
(a) What is meant by ‘break-even’?
...........................................................................................................................................
...........................................................................................................................................
...........................................................................................................................................
........................................................................................................................................... [2]
(b) Calculate the revenue per day.
...........................................................................................................................................
........................................................................................................................................... [2]
(c) Identify and explain two objectives Y2M might have if it was in the private sector.
Objective 1: .......................................................................................................................
...........................................................................................................................................
Explanation: ......................................................................................................................
...........................................................................................................................................
Objective 2: .......................................................................................................................
...........................................................................................................................................
Explanation: ......................................................................................................................
........................................................................................................................................... [4]
© UCLES 2019 06_0450_11_2019_1.9
Cambridge International General Certificate of Secondary Education
*4392321930*
BUSINESS STUDIES 0450/11
Paper 1 May/June 2019
1 hour 30 minutes
Candidates answer on the Question Paper.
No Additional Materials are required.
READ THESE INSTRUCTIONS FIRST
Write your centre number, candidate number and name in the spaces at the top of this page.
Write in dark blue or black pen.
You may use an HB pencil for any diagrams, graphs or rough working.
Do not use staples, paper clips, glue or correction fluid.
DO NOT WRITE IN ANY BARCODES.
Answer all questions.
The businesses described in this question paper are entirely fictitious.
At the end of the examination, fasten all your work securely together.
The number of marks is given in brackets [ ] at the end of each question or part question.
The total number of marks for this paper is 80.
This syllabus is regulated for use in England, Wales and Northern Ireland as a Cambridge International Level 1/Level 2 Certificate.
This document consists of 9 printed pages and 3 blank pages.
06_0450_11_2019_1.9
© UCLES 2019 [Turn over
, 2
1 Y2M is a bus operating company in the public sector. One of its objectives is to break even on
every bus route. Most of its competitors are in the private sector. Y2M wants to increase the number
of customers using its buses. The Finance Director has been looking at some cost data shown in
Table1. This is because Y2M plans to review its pricing methods. She is worried other businesses
pay workers a higher wage rate and some of its drivers may leave. She said: ‘To pay the same
wage rate would increase variable cost to $2.20 per passenger per journey.’
Table 1: Cost and price data for one Y2M route
Number of passengers per day 90
Price per passenger per journey $2.50
Fixed costs per week $300
Variable cost per passenger per journey $2
(a) What is meant by ‘break-even’?
...........................................................................................................................................
...........................................................................................................................................
...........................................................................................................................................
........................................................................................................................................... [2]
(b) Calculate the revenue per day.
...........................................................................................................................................
........................................................................................................................................... [2]
(c) Identify and explain two objectives Y2M might have if it was in the private sector.
Objective 1: .......................................................................................................................
...........................................................................................................................................
Explanation: ......................................................................................................................
...........................................................................................................................................
Objective 2: .......................................................................................................................
...........................................................................................................................................
Explanation: ......................................................................................................................
........................................................................................................................................... [4]
© UCLES 2019 06_0450_11_2019_1.9
