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CIPS A6 Exam Sample Questions

Question: 2

Q2 Which of the following relationships best describes a small change in demand as a result of a large change in price? (2 marks)

  1. Inelastic
  2. Explicit
  3. Implicit
  4. Elastic


Answer: A

Question: 3

Q3 Which of the following best describes the pricing policy known as ‘promotional pricing’? (2 marks)

  1. A high price aimed at quick recovery of costs
  2. A price in line with that being charged by competitors
  3. A temporary price reduction to increase sales in the short term
  4. A low price set to gain a large share of the market.


Answer: C

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Question: 5

Q5 Which of the following best defines the economic term ‘budget surplus’? (2 marks)

  1. Government expenditure equaling government revenue
  2. Government revenues creating government expenditure
  3. Government expenditure exceeding government revenue
  4. Government revenue exceeding government expenditure


Answer: D

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Question: 2

Q2 Which of the following relationships best describes a small change in demand as a result of a large change in price? (2 marks)

  1. Inelastic
  2. Explicit
  3. Implicit
  4. Elastic


Answer: A

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Question: 2

Q2 Which of the following relationships best describes a small change in demand as a result of a large change in price? (2 marks)

  1. Inelastic
  2. Explicit
  3. Implicit
  4. Elastic


Answer: A

Question: 3

Q3 Which of the following best describes the pricing policy known as ‘promotional pricing’? (2 marks)

  1. A high price aimed at quick recovery of costs
  2. A price in line with that being charged by competitors
  3. A temporary price reduction to increase sales in the short term
  4. A low price set to gain a large share of the market.


Answer: C