Business 7115 · O Level · Economic issues

Economic issues — practice question

(a(i))[4]

Identify and explain two distinctions between MF and unincorporated businesses.

(a(ii))[4]

Identify and explain two distinctions between MF and public sector organisations.

(b)[12]

Consider the possible external costs and external benefits created by MF’s new product. Recommend whether the Government ought to encourage MF to produce this new product. Justify your answer. External costs: External benefits: Recommendation:

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: MF enjoys limited liability

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