Could not load assets. Please refresh the page.

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.

 

01 Hours 30 Minutes

 

100 Marks

 

Calculator NOT allowed

IB BUSINESS MANAGEMENT SL, Paper 1, May, 2005, TZ0, Solved Past Paper

Master the 2005 IB May for Paper 1 Business Management SL with examiner tailored solutions and comments for TZ0

Question 1 [Explained]

This question explores the organizational structure and strategic decisions of a company named Gadgets 2 u.com. It is divided into two parts: the first part focuses on the advantages and disadvantages of operating as a private limited company, while the second part analyzes the pros and cons of organizing the firm as a matrix structure.

Question 1 [a] [Explanation]

This part of the question requires you to explain three advantages and three disadvantages of operating Gadgets 2 u.com as a private limited company. A private limited company is a type of business entity that offers limited liability to its shareholders but places certain restrictions on its ownership.

Question 1 [b] [Explanation]

This part of the question asks you to analyze the advantages and disadvantages of organizing Gadgets 2 u.com as a matrix structure. A matrix structure is an organizational design that combines functional and project-based structures, allowing for more flexibility and collaboration.

Question 2 [Explained]

This question focuses on analyzing Tom's leadership approach and suggesting improvements for his effectiveness as a manager. Additionally, it discusses the effectiveness of the motivational strategy implemented by Gadgets 2 u.com using appropriate theories.

Question 2 [a] [Explanation]

This part of the question is divided into two subparts: (i) describing Tom's leadership approach and (ii) suggesting changes to improve his effectiveness as a manager.

Question 2 [a] [i] [Explanation]

This question asks you to describe Tom's leadership approach, identifying both autocratic and democratic characteristics in his style.

Question 2 [a] [ii] [Explanation]

This question asks you to suggest changes that could improve Tom's effectiveness as a manager, focusing on managerial functions and delegation.

Question 2 [b] [Explanation]

This question asks you to discuss the effectiveness of the motivational strategy implemented by Gadgets 2 u.com, applying appropriate motivational theories.

Question 3 [Explained]

This question involves preparing a cash flow statement for the months of January and February 2005, based on the given changes from December 2004. Additionally, it requires evaluating alternative sources of finance available to Gadgets2u.com for funding a warehouse.

Question 3 [a] [Explanation]

This part of the question asks you to prepare a cash flow statement for January and February 2005. You need to follow the format used in Appendix 5 and assume specific changes for each of these months. The changes are:

  • Sales are reduced to 10% of the December 2004 value.
  • Distribution costs are reduced to 10% of the December 2004 value.
  • Purchases are increased by 20% from the December 2004 value.