Paper 1: Markets and how they work · 9EB0/01

Edexcel B A-level Paper 1, June 2018

All 10 written questions from Edexcel B A-level Paper 1 (June 2018), Markets and how they work. Case studies: The gourmet confectionery brand launched by Made in Chelsea…, Cycling and walking investment strategy and Brexit and the UK economy. Each question shows its marks and topic, and opens the question paper and mark scheme at the right page.

Question paper Mark scheme Examiner report

Section A

Case study

The gourmet confectionery brand launched by Made in Chelsea star Jamie Laing

Extracts: A: The gourmet confectionery brand launched by Made in Chelsea star Jamie Laing · B: Sugar price – US cents per pound of sugar · C: Half of UK start-ups fail within five years · D: Top five confectionery manufacturers in the UK 2015-2016

In the extracts: Candy Kittens, Jamie, Sales, Topshop and Selfridges, Sir Alexander Grant, Haribo and Maynards, Jamie Laing Having, Made in Chelsea, Confectionery, Willy Wonka

Q1(a)Calculate4 marks

Calculate the planned sales revenue for Candy Kittens in 2019. You are advised to show your working.

Mark splitKnowledge 1Application 3

TopicRevenue, costs, profits and cash

Question paper p.5 Mark scheme p.4 Examiner report p.4 Open in the tool

Q1(b)Explain4 marks

Explain one external cost caused by the consumption of sweets.

Mark splitKnowledge 1Application 2Analysis 1

TopicMarket failure and government intervention

Question paper p.6 Mark scheme p.4 Examiner report p.5 Open in the tool

Q1(c)Explain4 marks

Using Extract B, explain one supply factor that may have caused fluctuations in the price of sugar.

Mark splitKnowledge 1Application 2Analysis 1

TopicIntroducing the market

Question paper p.7 Mark scheme p.5 Examiner report p.6 Open in the tool

Q1(d)Analyse6 marks

Research suggests that the biggest growth barrier for UK start-up firms is the UK tax system. (Extract C) Using a supply and demand diagram, analyse the likely impact on the UK confectionery market of an increase in indirect taxes.

Mark splitKnowledge 2Application 2Analysis 2

TopicEnterprise, business and the economyIntroducing the marketMarket failure and government intervention

Question paper p.8 Mark scheme p.6 Examiner report p.7 Open in the tool Draw it: indirect tax diagram

Q1(e)Discuss8 marks

Discuss the benefit that adding value brings to Candy Kittens.

Mark splitKnowledge 2Application 2Analysis 2Evaluation 2

TopicEnterprise, business and the economyThe role of credit in the economyRevenue, costs, profits and cash

Question paper p.9 Mark scheme p.7 Examiner report p.10 Open in the tool

Q1(f)Assess10 marks

Assess the benefits of this source of finance for a new firm such as Candy Kittens.

Mark splitKnowledge 2Application 2Analysis 3Evaluation 3

TopicEnterprise, business and the economyThe role of credit in the economyRevenue, costs, profits and cash

Question paper p.11 Mark scheme p.9 Examiner report p.13 Open in the tool

Q1(g)Assess12 marks

Assess the extent to which barriers to entry may restrict the growth of Candy Kittens.

Mark splitKnowledge 2Application 2Analysis 4Evaluation 4

TopicEnterprise, business and the economyThe role of credit in the economyRevenue, costs, profits and cash

Question paper p.13 Mark scheme p.11 Examiner report p.17 Open in the tool

Q1(h)Assess12 marks

Using Extract C, assess the extent to which cash flow forecasting is important to the survival of a new start-up business such as Candy Kittens.

Mark splitKnowledge 2Application 2Analysis 4Evaluation 4

TopicEnterprise, business and the economyRevenue, costs, profits and cash

Question paper p.15 Mark scheme p.13 Examiner report p.20 Open in the tool

Section B

Case study

Cycling and walking investment strategy

Extracts: E: Cycling and walking investment strategy · F: Cycling and walking statistics (National Travel Survey, 2015)

In the extracts: Frequency, Cycling, National Travel Survey, Denmark and Holland, British Cycling, Chris Boardman, Hemming Group, Mr Boardman, According, Olympic

Q2Evaluate20 marks

Evaluate the extent to which the government’s cycling and walking strategy may impact the UK economy.

Mark splitKnowledge 4Application 4Analysis 6Evaluation 6

TopicMarket failure across the economyMarket failure and government interventionRevenue, costs, profits and cash

Question paper p.20 Mark scheme p.15 Examiner report p.23 Open in the tool

Section C

Case study

Brexit and the UK economy

Extracts: G: Brexit and the UK economy · H: UK GDP growth rate · I: UK Bank of England interest (base) rates 2006-2016 · J: UK government spending

In the extracts: Brexit, GDP, UK Bank of England, European Union, Madhavi Bokil, Year Interest, Uncertainty, GDP Year, Britain, Limited

Q3Evaluate20 marks

Using a suitable diagram, evaluate the importance of demand side policies in stimulating growth in the UK.

Mark splitKnowledge 4Application 4Analysis 6Evaluation 6

TopicIntroducing the market

Question paper p.26 Mark scheme p.17 Examiner report p.27 Open in the tool Draw it: AD/AS diagram

Question text is quoted from the question papers, © Pearson Edexcel, for students’ private study. Open the official papers and mark schemes from the links on each question. Examiner insights are written with AI assistance and moderated by Finn.

Section A

The gourmet confectionery brand launched by Made in Chelsea star Jamie Laing

Section B

Cycling and walking investment strategy

Section C

Brexit and the UK economy

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