TOTAL MARKS. Name. Index Number. Candidate s Signature. 565/1 BUSINESS STUDIES Paper 1 August/September Hours

Transcription

1 Name. Index Number Candidate s Signature. Date 565/1 BUSINESS STUDIES Paper 1 August/September Hours FORM FOUR KCSE TRIAL EXAM 2013 Kenya Certificate of Secondary Education BUSINESS STUDIES Paper 1 2 hours Instructions to candidates (a) Write your name and index number in the spaces provided above. (b) Sign and write the date of the examination in the spaces provided above. (c) Answer all the questions. (d) All answers must be written in the spaces provided in this booklet. (e) Do not remove any pages from this booklet. (f) This paper consists of 8 printed pages. (g) Candidates should check the question paper to ascertain that all the pages are printed as indicated and no questions are missing. For Examiner s use only Question Marks Question Marks TOTAL MARKS 1

2 1. A business opportunity exists where there are gaps in the needs of the market. Outline four such gaps. 2.Outline four features of oligopoly power 3.State the term given to each of the following disciplines. (a) Study of how man strives to satisfy his unlimited wants using the limited resources (b)study of the process of identifying a business opportunity and acquiring resources to start and operate a business Study of trade and aids to trade (d) Refers to a systematic way of recording business activities which are used for decision making Outline four functions of Kenya Bureau of Standards. 2

3 5. Illustrate with a diagram the effect of a decrease in supply on equilibrium price and quantity in a normal situation. 6. Highlight four measures that the government may take to attract firms to an area. 7. Outline four features of demand deposit. 8. The balances below relates to Eureka Traders for the year ended 31 st December Shs Capital? 2 yearbank loan 230,000 Creditors 95,200 Fixed Assets 480,000 3

4 Current Assets 145,220 Determine the following: Working Capital (2mks) Capital employed (2mks) 9. Classify the following accounts as either real or nominal. Account (a)delivery Van (b)purchases Insurance Premium (d)commission Income Class 10.State four merits of using indirect taxes to raise government revenue. 11.Outline four monetary methods the government can use to control inflation. 4

5 12. Outline four conditions which are necessary for a successful development plan. 13. State four purposes of a three column cash book. 14.Highlight four features of general insurance. 15. The following relate to Ekerubo Traders as at Shs Stock ( ) 7,500 Purchases 65,000 Sales 85,000 Return Inwards 1,000 Mark-up 25% General Expenses 12,200 Required: 5

6 Prepare a trading, profit and loss A/C for the period ended Mali had the following assets and liabilities on 1 st January Shs Premises 800,000 Debtors 40,000 Bank 80,000 Creditors 70,000 Cash 60,000 Stock 62,000 Bank Loan 380,000 Required: Prepare opening journal entries to record the above information Date Details Dr Cr 6

7 17.The following balance sheet relates to Jubilee taders. Jubilee Traders Balance Sheet As at 31 st March 2011 Equipments 45,000 Capital 50,000 Debtors 20,000 Creditors 10,000 Cash 25,000 Bank Overdraft 30,000 90,000 90,000 The following transactions took place durions took place during the month of April Received cash Kshs 15,000 from debtors. Paid creditors Kshs 10,000 cash. Bought office furniture for Kshs 20,000 cash. Prepare a balance sheet as at 30 th April

8 18.The following terms relate to communication: vertical, horizontal, formal and informal. Write the appropriate term of communication associated with each of the following. Statement Rumours going around that the most disciplined will be promoted. A manager giving instructions to a supervisor in his division. Prefects discussing discipline in their school. A manager issues a general circular to employees Term 19. State four items that are found on the credit side of the current account of a country. (ii 20.The National Income is measured using the the expenditure method given as Y=C+I+G+(X-M).State what each of the following letters represent. C I G (X-M) Name the factor of production that each of the following resources relate to. Resources (a)accountant (b) Motor Vehicle Water (d) owner Factor of Production 8

9 22. On , Onyango bought goods on credit quoted at shs 200,000. Terms of sale were 20% trade discount and 10% cash discount if payment was made on Calculate the amount paid if payment was made on Differentiate between liners and tramps. Liners Tramps 24. In the table given below give the appropriate type of advertising which suits the description. Description Persuades the consumers to buy a product Promotes a particular brand of product Creates awareness about a product Promotes the name of the manufacturer Type of Advertising 25.Outline four advantages of overpopulation in Kenya. 9

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