AQA A-level BUSINESS
Paper 2 2020 QP
Business 2
*jun207132201*
IB/G/Jun20/E12 7132/2
For Examiner’s Use
Question
... [Show More] Mark
1.1
1.2
1.3
1.4
2.1
2.2
2.3
2.4
3.1
3.2
3.3
3.4
TOTAL
Monday 1 June 2020 Afternoon Time allowed: 2 hours
Materials
For this paper you must have:
• a calculator.
Instructions
• Use black ink or black ball-point pen.
• Fill in the boxes at the top of this page.
• Answer all questions.
• You must answer the questions in the spaces provided. Do not write
outside the box around each page or on blank pages.
• Do all rough work in this answer book. Cross through any work you
do not want to be marked.
Information
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• The maximum mark for this paper is 100.
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A-level
BUSINESS
Paper 2 Business 2
2
*02*
IB/G/Jun20/7132/2
Do not write
outside the
Answer all questions in the spaces provided. box
0 1 Read the information below and then answer the questions that follow.
Drake Hotels PLC owns 20 budget hotels in the UK. Each one is located in a different
city. The industry is very competitive and Drake’s managers all have an objective to
help the business to be as efficient as possible.
Drake Hotels PLC’s operating profit for the financial year 2019–20 was £18 million.
Last month the company appointed a new Chief Executive, Mary Myers, to increase
the profitability of the business. Mary was previously the Marketing Manager of an
upmarket hotel chain.
Mary is already considering an investment proposal for a luxury hotel in Oxford. This
hotel would target overseas visitors who might want to visit the city. Drake Hotels has
found a suitable building but needs to invest to develop it.
Appendix A Investment appraisal results for the proposed investment into a new
hotel in Oxford (based on net inflows for first eight years).
Average rate of return 12% per year
Net Present Value £25 million [Show Less]