HSC 2017 Business Studies Marathon (2 Viewers)

[davidgoes4wce]

Decided to open up a Business Studies Marathon for any current or former HSC students to discuss any content related to this subject.

I've done some accounting and finance units before but hardly remember any of it as I did it a long time ago. Thought it would be good to brush up a few concepts along the way.

 

[davidgoes4wce]

This was the 1st question in last years HSC exam (2016)

Q1. A red leather lounge was purchased from Lounge Ltd. After only 2 weeks of use, the legs of the couch fell off.

What is the law that enforces the warranty in this situation?

(A) Corporations Act 2001 (Cth)
(B) Fair Trading Act 1997 (NSW)
(C) Trade Practices Act 1974 (Cth)
(D) Competition and Consumer Act 2010 (Cth)


A reason would be good in supporting your answer. (I haven't actually heard of the Competition and Consumer Act 2010 (as I currently speak)).

 

[RivalryofTroll]

This was the 1st question in last years HSC exam (2016)

Q1. A red leather lounge was purchased from Lounge Ltd. After only 2 weeks of use, the legs of the couch fell off.

What is the law that enforces the warranty in this situation?

(A) Corporations Act 2001 (Cth)
(B) Fair Trading Act 1997 (NSW)
(C) Trade Practices Act 1974 (Cth)
(D) Competition and Consumer Act 2010 (Cth)


A reason would be good in supporting your answer. (I haven't actually heard of the Competition and Consumer Act 2010 (as I currently speak)).

The CCA was previously known as the Trade Practices Act.

So you probably knew about the Trade Practices Act but didn't know it's replacement.

 

[davidgoes4wce]

Nice so I'm taking it you would pick D?

 

[davidgoes4wce]

Read a little interesting statistic.

In the last 2 decades the number of enrolments in Business Studies has increased by up almost 40% from 2 decades ago.

1996: 12,522
2006: 16,029
2016: 17,557

 

[davidgoes4wce]

The CCA was previously known as the Trade Practices Act.

So you probably knew about the Trade Practices Act but didn't know it's replacement.

The answer was D but this is the definition from wikipedia:

"The Act is the legislative vehicle for competition law in Australia, and seeks to promote competition, fair trading as well as providing protection for consumers."

I struggle to link that definition with the question, where the legs fell off the couch and why it would be selected over the other 2 . (Since we eliminated the Trade Practices act 1974)

 

[davidgoes4wce]

Q2. 2016 HSC

Ruth observed that a work colleague was stealing and reported the theft to her supervisor.
As a result, Ruth’s employment was terminated.
What is this an example of?
(A) Performance management
(B) Redundancy
(C) Retrenchment
(D) Unfair dismissal

 

[davidgoes4wce]

Redundant to me means - when its duties are no longer needed to be done by anyone.

Retrenchment- reduction of the workforce due to an economic downturn

 

[davidgoes4wce]

I'm probably leaning towards (D) just due to the fact that in her role in the company she was doing the ethical thing and reporting a bad action that occurred from within her company to her supervisor. She has every right to be hard done by. (I know that's not the most pleasant explanation but you get the general gist)

 

[seremify007]

Q2. 2016 HSC

Ruth observed that a work colleague was stealing and reported the theft to her supervisor.
As a result, Ruth’s employment was terminated.
What is this an example of?
(A) Performance management
(B) Redundancy
(C) Retrenchment
(D) Unfair dismissal

D. It's an ethical challenge here whereby Ruth has reported someone doing something wrong but instead of the colleague getting impacted, Ruth has been dismissed unfairly even though she has not failed to meet her role/responsibility requirements.

 

[davidgoes4wce]

Q3. 2016 Exam Paper

While developing a new marketing plan a business discovers that many customers think
its website is boring and confusing.
At what stage in the marketing process should this have been identified?
(A) Identifying target markets
(B) Developing marketing strategies
(C) Conducting a situational analysis
(D) Establishing marketing objectives

 

[davidgoes4wce]

I am leaning towards C as its important for the managers to identify and understand the organization's customers. One of the key attributes is what the customers motivations are for not using the website.

 

[davidgoes4wce]

@ Seremify what does BHHS in your signature stand for?

 

[si2136]

@ Seremify what does BHHS in your signature stand for?

His high school - Baulkum Hills High School

 

[davidgoes4wce]

His high school - Baulkum Hills High School

Thanks

 

[seremify007]

Q3. 2016 Exam Paper

While developing a new marketing plan a business discovers that many customers think
its website is boring and confusing.
At what stage in the marketing process should this have been identified?
(A) Identifying target markets
(B) Developing marketing strategies
(C) Conducting a situational analysis
(D) Establishing marketing objectives

I'd lean towards C purely because the other options just don't sound right at all. It's not identifying targets, it's not developing a strategy, and we aren't defining any objectives... so by process of elimination, it must be C.

 

[davidgoes4wce]

Q4. 2016 Paper

4
Solvency is the ability of a business to
(A) maximise its profits.
(B) increase its market share.
(C) meet its long-term financial commitments.
(D) meet its short-term financial commitments.

Not going to use a dictionary here or Google Search. From my time studying a bit of Accounting, solvency was the ability of businesses to be able to pay back their long-term commitments. If a business can't pay back their loans or have insufficient funds or assets, they are declared 'insolvent'. (Someone may want to correct me here). I am going to for C but wouldn't be surprised if D was right.

 

[seremify007]

Q4. 2016 Paper

4
Solvency is the ability of a business to
(A) maximise its profits.
(B) increase its market share.
(C) meet its long-term financial commitments.
(D) meet its short-term financial commitments.

Not going to use a dictionary here or Google Search. From my time studying a bit of Accounting, solvency was the ability of businesses to be able to pay back their long-term commitments. If a business can't pay back their loans or have insufficient funds or assets, they are declared 'insolvent'. (Someone may want to correct me here). I am going to for C but wouldn't be surprised if D was right.

I also wasn't 100% confident between C and D but I thought 'insolvent' is when you are unable to meet your debts as and when they fall due. I also assume C because usually people talk about solvency and liquidity ratios (the latter being for short term conversion to cash to meet obligatios). Maybe a current student can check?

 

[BLIT2014]

Q4. 2016 Paper

4
Solvency is the ability of a business to
(A) maximise its profits.
(B) increase its market share.
(C) meet its long-term financial commitments.
(D) meet its short-term financial commitments.

Not going to use a dictionary here or Google Search. From my time studying a bit of Accounting, solvency was the ability of businesses to be able to pay back their long-term commitments. If a business can't pay back their loans or have insufficient funds or assets, they are declared 'insolvent'. (Someone may want to correct me here). I am going to for C but wouldn't be surprised if D was right.

I think c, given in Business Studies if I remember correctly we focused on liquidity being related to short term obligations, whereas solvency the focus was on meeting the longer term commitments.

(The answers also confirmed this when I checked on the bostes website)

 

[davidgoes4wce]

I also wasn't 100% confident between C and D but I thought 'insolvent' is when you are unable to meet your debts as and when they fall due. I also assume C because usually people talk about solvency and liquidity ratios (the latter being for short term conversion to cash to meet obligatios). Maybe a current student can check?

Have run a business before and can understand why decisions like this are important. Important to know these terms when speaking to banks.