Highschool Orkney
Formal Assessment Task
EMS Grade 9
Term 1 2020
Total: 50 marks
Question 1
[Total: 10 marks]
Question 2
[Total: 12 marks]
1
Question 3
Diagram of the economic cycle
Study the diagram below and answer the questions that follow.
a) Explain how money flows from households to producers and from producers to
households.
[4 marks]
b) Why does money leave the economy when goods are imported?
[1 mark]
c) Where do households get the money from that they spend on goods and services?
[2 marks]
d) Who owns the factors of production?
[1 mark]
e) How does the foreign sector contribute to money entering the economy?
[2 marks]
[total: 10 marks]
Question 4
The effect of the national budget on education, social welfare, health and security
The graph below shows the Government expenditure in 2009. Study the graph and answer
the questions that follow.
2
a) Education receives the largest chunk of the budget pie. Name three ways in which the
education budget can be used to improve conditions for learners.
[3 marks]
b) Which services provided by Government are covered under welfare? [4 x ½ marks]
c) Why is it necessary that Government spend money on transport and communication?
After all, we pay for our own fuel, we pay our own telephone bills and we buy our own
airtime.
[2 marks]
[Total: 9marks]
Question 5
Calculating sales price, cost of sales, mark-up and profit
Make use of the formulas below to do the calculations that follow.
a) Barry buys a car at R15 000 and sells it to Tom for R22 500. How much profit did he
make?
[2 marks]
b) Precious has a 30% mark-up on her vegetables. She buys oranges for R10 a pocket at
the Johannesburg Fresh Produce Market. For how much does she sell it?
[2 marks]
Question 6
The circular flow of money
3
Read the case study below. The case study shows how money flows from one person to the
next in the economic cycle. Make up your own case study about the circular flow of your
pocket money and relate it to the class.
[Total: 5 marks]
[Exam Total: 50 Marks]
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