Highlight four factors to consider when choosing a means of transport.

Outline four difficulties that consumers may face in the satisfaction of human wants.

From the list of activities given in the table below. State the level of production they relate to.
Activity Level of production
i) Dress making
ii) Selling goods in the market
iii) Milking a cow
iv) Cutting down trees

Highlight four unethical practices in product promotion.

State four uses of an advice note in business transactions.

Outline four advantages of a short distribution channel of goods to a buyer.

The information given below represents a demand schedule for bread in a week
Price (sh) Quantity demanded(loaves)
20 20
30 15
40 10
50 5
Required to plot the information on a graph.

Outline four challenges facing consumer associations in Kenya.

Highlight four external business environments that may lead to the success of a business.

The following information relates to the business of Nashipae
2011
Feb1st : Cash in hand sh. 23,500 and cash at bank sh. 11,500
Feb 2nd :Bought goods worth sh.8,000 in cash
Feb 4th : Cash sales amounting to sh. 6,900
Feb 5th : Deposited sh. 2,500 into bank from cash till.
Feb 7th :Withdrew sh. 3,000 from bank for family use
Feb 10th : Received a cheque of sh 6,000 from Siokino, a debtor
Required:
Prepare a two column cash book for Nashipae and balance it off.

Highlight four features of monopoly market structure.

Outline four factors to consider when evaluating a business opportunity.

Give four differences between a public warehouse and private warehouse.

Highlight four guidelines that govern the affairs of cooperative societies.

Identify the insurance terms described below.
Description Term
i) To transfer ownership of life
policy to another person
ii) Insuring same subject for the
same risk with more than one
insurance company
iii) Regular payments for insurance
cover
iv) Refund received on cancellation
of life policy before maturity.

The diagram below depicts injections into and leakages from the national income.
State what is represented by the following letters

The following information was extracted from the books of Esidai wholesalers on 31st December 2012
Opening stock sh. 640,000
Closing stock sh. 800,000
Rate of stock turnover 3 times
Mark up 20%
Determine the gross profit.

Outline four characteristics of money.

State the type of unemployment relating to each of the following descriptions. (4 marks)
Description Type
i) Arises when people are physically
challenged
ii) Arises out of mismatch between
the skills possessed by potential
employees and the job
opportunities available
iii) Caused by alternating trade
patterns occurring at similar times
over the years
iv) Arises when there is change in
methods of production

Outline four circumstances under which a firm would locate near a pool of labour.

Identify the type of error described below.
Description Type
i) Credit purchase of sh.78,000 was recorded as sh.
87,000 in both purchases and creditors accounts.
ii) Sale of goods on credit to Ntari sh. 18,000 was
debited in Ntati’s account
iii) Payment of salary sh.13,500 was debtited in the cash
account and credited in the salary expense account.
iv) Repair of motor vehicle sh. 5000 was recorded in the
motor vehicle account.

State four reasons why the government imposes taxes.

Highlight four causes of ‘cost push’ inflation.

Give four measures that an organization may put in place to improve office etiquette among its employees.

State four objectives that the government aims to achieve by carrying out development planning.