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OCR A Level Business
H4 3 1/ 02 The UK business
environment Combined
Question paper & Marking
Scheme A+ May 2025
Oxford Cambridge and RSA
Tuesday 20 May 2025 – Morning
A Level Business
H 431 / 02 The UK business environment
Time allowed: 2 hours You must have:
- the Resource Booklet You can use:
- a calculator Please write clearly in black ink. Do not write in the barcodes. Centre number Candidate number First name(s) Last name INSTRUCTIONS
- Use black ink.
- Write your answer to each question in the space provided. You can use extra paper if you need to, but you must clearly show your candidate number, the centre number and the question numbers.
- Use the Resource Booklet to answer the questions in Section B.
- Answer all the questions. INFORMATION
- The total mark for this paper is 80.
- The marks for each question are shown in brackets [ ].
- Quality of extended response will be assessed in questions marked with an asterisk (*).
- This document has 16 pages. ADVICE
- Read each question carefully before you start your answer
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4 Explain two reasons why the dismissal of an employee would be considered unfair. 1 ....................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... 2 ........................................................................................................................................................ .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... [ 4 ] 5 Explain one reason why a business may choose to operate in each of the following markets: Physical market ................................................................................................................................ .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... Non-physical market ........................................................................................................................ .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... [ 4 ] 6 State two characteristics of a public limited company. 1 ....................................................................................................................................................... 2 ....................................................................................................................................................... [ 2 ] © OCR 2025 Turn^ over
7 A business buys a new vehicle for £ 35 000. The Finance Director is considering which method of depreciation to use. Option 1 : Straight line method The vehicle will be depreciated over a five-year period with no residual value. Option 2 : Reducing balance method The vehicle will be depreciated at a rate of 25 % per year. Using both these options, calculate the difference between the recorded value for each option at the end of Year one. Show your working. .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... Answer = £ .................................................................... [ 4 ]
© OCR 2025
10 SJW Ltd is a supplier to many coffee stores, including Coffee#1. SJW Ltd has been asked by its bank for a cash-flow forecast for the next 6 months. The Finance Director of SJW Ltd is producing this cash-flow forecast, but it is not yet complete. June £ July £ August £ September £ October £ November £ Revenue 48 000 48 000 56 000 50 000 58 000 Raw materials
Labour costs
Utilities 5 000 5 000 6 000 7 000 7 000 Interest 2 000 2 000 2 000 2 000 2 000 2 000 Net cash flow
Opening balance
Closing balance
(a) The Finance Director has just received the final data needed to complete the cash-flow forecast. Revenue in November is forecast to be £78 000 , and utilities in November are forecast to be £ 900 0. Calculate the closing balance for November. Show your working. .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... Answer = £ .......................................................... [ 3 ] (b) State the minimum level of bank overdraft that SJW Ltd will need to arrange for this 6 - month period. .......................................................................................................................................................... .......................................................................................................................................................... Answer = £ .......................................................... [ 1 ]
11* Recommend how Coffee#1 could use flexible working practices. Justify your recommendation. [ 15 ] .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... ..........................................................................................................................................................
© OCR 2025 12 Evaluate two ways that poor customer service may affect Coffee#1’s stakeholders. [ 9 ] .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... ..........................................................................................................................................................
14* Coffee#1 has announced it will accelerate its growth plans. Evaluate the importance of different market research techniques to ensure Coffee#1’s expansion is a success. [ 15 ] .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... .......................................................................................................................................................... ..........................................................................................................................................................
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(^1) (^9) (^4) (^2) (^0) (^7) (^6) (^5) (^6) (^1) (^) * Oxford Cambridge and RSA
Tuesday 20 May 2025 – Morning
A Level Business
H 431 / 02 The UK business environment
Resource Booklet
Time allowed: 2 hours INSTRUCTIONS
- Use this Resource Booklet to answer the questions in Section B.
- You can write on this Resource Booklet, but it will not be sent for marking. INFORMATION
- The business described in this Resource Booklet is a real business.
- This document has 8 pages. © OCR 2025 [ 601 / 4675 / 8 ] DC (DE) 342421 / 2 OCR is an exempt Charity Turn over
