(a)[8]
With reference to Appendix 2, explain one external cost and one external benefit connected with Ruben’s business.
(b)[12]
Look at the three ethical issues below for Ruben’s business: • Advertising targeted at children • Aiming for profit maximisation by paying low wages • Buying only from local suppliers. Which of these do you believe will affect Ruben’s business the most? Justify your choice.