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Form 4 565/2 Business Studies Paper 2 March 2017 Question Paper

Form 4 565/2 Business Studies Paper 2 March 2017 

Course:Business Studies

Institution: Form 4 question papers

Exam Year:2017



Name............ Index No........ Date.........

565/2
BUSINESS STUDIES
paper 2
March 2017
Time:2 Hours 30 minutes

THE EAGLE EXAMINATIONS
Kenya Certificate of Secondary Education

INSTRUCTIONS TO CANDIDATES

Write your name and index number on this paper
This paper consists of six questions
Answer any five questions
All questions carry equal marks


1.(a) Outline the benefits of pooling of risks to an insurance company (10 mks)

(b) Using a diagram, briefly explain leakages and injections in a two sector economy (10 mks)

2.(a) The following information relates to the business of Lurambi for the week ended 30th May 2011

May 25th started bussiness with Sh.24000 in the bank

May 26th Bought goods worth sh.18000 by cheque

May 27th Sold goods for cash sh.18900

May 28th Paid rent sh.150 in cash

May 29th Cash sales worth sh.5625

May 30th Paid commission sh.900 in cash

Prepare ledger accounts and balance them off (10 mks)

b) Outline reasons why computerized filling is preferred by most institutions (10 mks)

3(a) Explain five services that the Central Bank of Kenya offers to commercial banks (10 mks)

(b) Discuss five uses of national income statistics to a country (10 mks)

4(a) Discuss the factors that should be considered in choosing a channel of distribution (10 mks)

(b) Explain any five types of wholesales which may be found in our country today (10 mks)

5(a) Assume that you are the sales manager of Kenya Breweries Limited. Explain the qualities you would look for every time you are recruiting your sales executives (10 mks)

(b) Explain the benefits associated with containerisation (10 mks)

6(a) The following information was extracted from the books of Book point for the period ended 31-12-2012

Opening stock sh.21000
Purchases sh.40000
Closing stock sh.10000
Sales sh.82000
Returns inwards sh.2000
Motor vehicle sh.10000
Rent sh.3000
Sales expenses sh.18000
Discount received sh.3000

Required: Draw a Book point Trading, profit and loss account for the period ended 30-12-10 (20 mks)




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