Get premium membership and access revision papers, questions with answers as well as video lessons.
Business Studies Paper Two Question Paper
Business Studies Paper Two
Course:Secondary Level
Institution: Kcse question papers
Exam Year:2007
FRIENDS SCHOOL KAMUSINGA
FORM 4 REVIEW EXAMINATIONS
562/2
B/STUDIES
PAPER 2
MARCH 2007
TIME: 2½ HOURS
INSTRUCTIONS
? This paper consists of five questions
? Answer all questions on the foolscaps provided.
1. (a) Business organizations operate in an environment where there are external factors likely to affect their operations at present and in future. Explain five external environmental factors that are likely to affect business organizations. (10 marks)
(b) Explain five characteristic features of labour as a factor of production. (10 marks)
2. (a) Outline five indicators that could make a manager aware that his or her workers are not properly motivated. (10 marks)
(b) Njoroge is of the opinion of either using mobile phones or letters to communicate with his clients. Suggest five different reasons why you would advice him to use letters rather than mobile phones. (10 marks)
3. (a) Wafula sold goods to Njenga and was paid using a cheque. When he took the cheque to the bank, he was not cashed. Explain to Mr Wafula any five reasons that could have led to this cheque not being cashed. (10 marks)
(b)Kimilili sugar factory Ltd was formed 1990. Four years later, the lifespan of this company was terminated. Explain any five circumstances that might have led to the termination. (10 marks)
4. (a) Briefly explain any five factors which influence the level of National income of a country. (10 marks)
(b) The rate of unemployment in Kenya has been on the increase. Explain five cause of unemployment in Kenya. (10 marks)
5. The following information was extracted from the books of Juma Retail Shops as at 1st October 2003.
Capital 50,000
Furniture 20,000
Cash at bank 40,000
Cash in hand 4000
Creditor L. Otenyo 14,000
The following transactions took place during the month of October.
Oct. 2: Withdrew shs 4,500 from the business bank account for use in the office.
Oct. 3: Bought goods on credit from L. Otenyo sh. 13,500 and from S. Kibugi sh 27,200 and paid sh 4,000 for carriage of the goods.
Oct. 6 Purchased equipment and paid by cheque sh 6,950.
Oct. 7 Sold goods on credit to O. Obanda sh 15,300 and to F. Kaburu sh 18,200. He also paid sh 2,000 in cash for the carriage of the goods.
Oct. 10 goods returned to S. Kibugi sh 7,200
Oct. 13 Sold goods for cash sh 34,000
Oct. 14 Paid cash into bank sh 30,000 from office.
Oct. 15 Paid wages by cheque sh 8,500.
Oct . 16 Goods returned by F. Kaburu sh 8,200
Oct. 20 Received a cheque from O. Obanda sh 10,000. F. Kaburu also settled her account by cheque.
Oct.23 Sent cheques to L. Otenyo sh 14,000 and to S. Kibugi sh 20,000
Oct.30 Paid wages by cheque sh 8,500 and received rent in cash sh. 10,000.
Oct. 31 Paid insurance in cash 5,000
Required
Open the relevant ledger accounts, enter the opening balances, enter the transactions above and prepare the trial balance of the business as at 1/11/2003. (20 marks)
More Question Papers
Popular Exams
Return to Question Papers