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Business Studies Form 3 Term 2 Exam Question Paper

Business Studies Form 3 Term 2 Exam 

Course:Business Studies

Institution: Form 3 question papers

Exam Year:2007



1)Explain 5 ways which can be adopted to improve the productivity of labour in production.

2)Explain 5 methods which are adopted by Central Bank to control credit.

b)Explain 4 factors which influence the type of goods and services provided by a firm.

3)Explain 5 measures that Central Bank may take to reduce money supply in an economy.

b)Explain the importance of financial statements to a business organisation.

4)With the aid of a diagram,explain how a firm facing kinked demand curve under oligopoly determine output and price.

b)Explain 5 factors that can lead to the depreciation of the Kenyan shilling.

5)Outline 5 reasons why countries plan their economies.

b)Describe 5 circumstances under which an insurance company would not compensate the insured in event of loss.

6)With the aid of a diagram,explain the effect of an increase in supply of a commodity on the equilibrium price and quantity.

7)Explain 4 types of direct taxes that can be imposed in Kenya.

b)Explain 5 factors affecting price elasticity of demand.

8)Explain 5 negative effects of a rapid population growth.

b)Explain 5 factors that usually hinder the mobility of labour as a factor of production.

9)Highlight 5 circumstances under which it would be advisable for a trader to transport goods by road instead of rail.

b)Using a diagram,explain how price and output is determined by a firm under perfect competition in the short run.

10)Makena traders intends to construct a warehouse.Explain 5 measures that Makena traders would take to ensure smooth functioning of the warehouse.




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