These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
02 Hours 30 Minutes
100 Marks
Calculator NOT allowed
IB BUSINESS MANAGEMENT HL, Paper 2, November, 2002, TZ0, Solved Past Paper
Master the 2002 IB November for Paper 2 Business Management HL with examiner tailored solutions and comments for TZ0
Question 1 [Explained]
Cadbury-Schweppes, a global company known for its confectionery and beverage products, is navigating a competitive market landscape. The company has strategically diversified into beverages to enhance its market share and leverage its strong brands like Cadbury and Schweppes. Recently, it acquired Dr Pepper and expanded its presence in emerging markets such as China, Poland, Argentina, and Egypt. The company's strategy involves improving productivity and efficiency through product development, inorganic growth, and divesting non-core businesses. The provided company report summary includes financial data for 1997 and 1996, highlighting key metrics such as sales revenue, cost of sales, and various financial ratios. This information is crucial for analyzing the company's financial performance and strategic decisions.
Question 1 [a] [Explanation]
This question requires you to use the financial data from the Cadbury-Schweppes company report summary to calculate specific financial figures for the year 1997. You will need to determine the gross profit, expenses, and gross profit margin, ensuring that you show your calculations clearly.
Question 1 [a] [i] [Explanation]
Calculate the gross profit for the year 1997 using the sales revenue and cost of sales figures provided in the company report summary.
Question 1 [a] [ii] [Explanation]
Determine the expenses for the year 1997 using the gross profit and operating profit figures provided in the company report summary.
Question 1 [a] [iii] [Explanation]
Calculate the gross profit margin for the year 1997 using the gross profit and sales revenue figures provided in the company report summary.
Question 1 [b] [Explanation]
Analyze Cadbury-Schweppes' performance and liquidity position using the financial ratios provided in Figure 1. Consider the implications of these ratios for the company's financial health and operational efficiency.
Question 1 [c] [i] [Explanation]
Define gearing in the context of financial analysis.
Question 1 [c] [ii] [Explanation]
Discuss the advantages for Cadbury-Schweppes of maintaining a lower gearing ratio.