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BSM1602 EXAM PACK
1 BSM1602 Business Management 1B


This document is a compilation of UNISA Questions and Answers for BSM1602

Answers are motivated by a combination of:

Page references to the UNISA Study Guide and/or Prescribed Textbook:

Short summaries and/or content from the Guide regarding the relevant topic(s) in question.
(Incorrect options are also marked where applicable, in order to identify and disregard red‐herring
alternatives)

Assignments and Exams:

All Assignments from 2017 and 2020 are covered:

Exams covered are:

• May June (2016)
• May June (2017)
• Oct Nov (2017)
• May June (2018)
• Oct Nov (2018)
• May June (2019)
• Oct Nov (2019)



Please note: This document is an additional tool for exam preparation. The Stuvia‐user that compiled
and uploaded this document takes no responsibility for incorrect answers. Students must ensure
that they study the prescribed material and understand the content.

,2 BSM1602 Business Management 1B




Table of Contents
Assignment 01 – Semester 01 – 2017 ..................................................................................................... 3
Assignment 02 – Semester 01 – 2017 ................................................................................................... 10
Assignment 01 – Semester 02 – 2017 ................................................................................................... 26
Assignment 02 – Semester 02 – 2017 ................................................................................................... 33
Exam May‐June 2016 ............................................................................................................................ 57
Exam May‐June 2017 .......................................................................................................................... 125
Exam October‐November 2017 .......................................................................................................... 153
Exam May‐June 2018 .......................................................................................................................... 179

,3 BSM1602 Business Management 1B




Assignment 01 – Semester 01 – 2017
Chapter 1: Introduction to business management for the entrepreneur

Question 1

Effective supervision and motivation of employees within an enterprise, refers to _______ as a
fundamental management task.

1) planning
2) leading
3) organising
4) control

Answer: The correct answer is 2
Refer: Tutorial letter 201/1/2017; Prescribed Textbook, pg. 4
Reasoning: Effective supervision and motivation of employees within an enterprise, refers to
leading as a fundamental management task.


Question 2

Which one of the following statements is NOT correct?

1) Public enterprises are created to make a profit.
2) Public enterprises are funded by provincial administrations.
3) Public enterprises are responsible for providing the basic requirements for efficient
functioning of the economy.
4) Public enterprises are funded by government and local authorities.

Answer: The correct answer is 1
Refer: Tutorial letter 201/1/2017; Prescribed Textbook, pg. 8
Reasoning: Public enterprises are funded and managed by government, provincial
administrations or local authorities, and they are not created to make a profit.
Public enterprises are responsible for providing the basic requirements for the
efficient functioning of the economy and meeting the needs of the society. Option 1
is therefore incorrect as public enterprises are not created to make a profit.


Chapter 2: The general management function

Question 3

The process of transferring responsibilities for a specific business function from an employee group
to a non‐employee group, is known as _______.

1) public relations
2) organising
3) outsourcing
4) globalization

Answer: The correct answer is 3
Refer: Tutorial letter 201/1/2017; Prescribed Textbook, pg. 20

, 4 BSM1602 Business Management 1B


Reasoning: Outsourcing is the process of transferring responsibilities for a specific business
function from an employee group to a non‐employee group.


Question 4

Which one of the following problem‐solving techniques would be the best to use if individuals want
to act independently, and the ideas of each individual are sought?

1) The Delphi technique
2) The nominal group technique
3) Brainstorming
4) Fishbone diagrams

Answer: The correct answer is 2
Refer: Tutorial letter 201/1/2017; Prescribed Textbook, pg. 41
Reasoning: When following the Nominal Group Technique to solve problems, the staff
members involved are only a group in name. All the members of the group act
independently, and the ideas of individuals are sought, not the ideas of the group as
a whole.


Chapter 3: The financial function

Question 5

The ratio that will measure how efficiently profits are being generated from the assets employed in
the enterprise, is known as the _______ ratio.

1) return on assets
2) net profit margin
3) gross profit margin
4) return on equity

Answer: The correct answer is 1
Refer: Tutorial letter 201/1/2017; Prescribed Textbook, pg. 61
Reasoning: The return on assets ratio is a measure of an enterprise’s success in earning a return
for all providers of capital. This ratio also measures how efficiently profits are being
generated from the assets employed in the enterprise, with its own previous
performance or with enterprises in a similar industry.


Question 6

During which step, of the development of effective long‐term plans, would you identify ways to
improve the enterprises’ productivity and profitability?

1) Step 2
2) Step 3
3) Step 4
4) Step 5

Answer: The correct answer is 4
Refer: Tutorial letter 201/1/2017; Prescribed Textbook, pg. 71

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