State four characteristics of services.   (4mks)

a)…………………………………………………………………………………………...

b)……………………………………………………………………………………………

c)…………………………………………………………………………………………...

d)………………………………………………………………………………………….

Outline four disadvantages of division of labour.     (4mks)

a)………………………………………………………………………………………..

b)………………………………………………………………………………………..

c)………………………………………………………………………………………….

d)………………………………………………………………………………………...

Mention four advantages of using Automatic Vending Machines.   (4mks)

a)………………………………………………………………………………………...

b)…………………………………………………………………………………………..

c)……………………………………………………………………………………………

d)…………………………………………………………………………………………....

Give four benefits one gets from self-employment. (4mks)

a)………………………………………………………………………………………….

b)……………………………………………………………………………………………

c)………………………………………………………………………………………….

d)…………………………………………………………………………………………..

Outline four factors to consider when intending to buy office furniture. (4mks)

a)………………………………………………………………………………………..

b)…………………………………………………………………………………………..

c)……………………………………………………………………………………………

d)…………………………………………………………………………………………..

Name the source document to which each of the following description relate. (4mks)

Description                                                                                             source document

(i) Issued by the seller to a buyer for cash paid

(ii) Used for processing and authorizing payments

(iii) Sent to a credit buyer to demand payment

(iv) Used to correct undercharge

Outline four principles of co-operatives.    (4mks)

a)………………………………………………………………………………………….

b)………………………………………………………………………………………...

c)…………………………………………………………………………………………..

d)………………………………………………………………………………………..

Highlight four measures that the government puts in place to create conditions that will be favorable for business development.    (4mks)

a)……………………………………………………………………………………….

b)…………………………………………………………………………………………

c)………………………………………………………………………………………..

d)………………………………………………………………………………………..

State four advantages of transporting oil by pipeline rather than by road.  (4mks)

a)…………………………………………………………………………………………

b)………………………………………………………………………………………….

c)…………………………………………………………………………………………

d)………………………………………………………………………………………….

Outline four advantages of audio-visual communication.  (4mks)

a)………………………………………………………………………………………...

b)……………………………………………………………………………………...

c)………………………………………………………………………………………….

d)…………………………………………………………………………………………..

Highlight four ways in which the production activities of firms in your country affect the environment. (4mks)

a)…………………………………………………………………………………………....

b)…………………………………………………………………………………………..

c)………………………………………………………………………………………….

d)…………………………………………………………………………………………..

Highlight four disadvantages of a private warehouse. (4mks)

a)………………………………………………………………………………………...

b)…………………………………………………………………………………………

c)………………………………………………………………………………………..

d)………………………………………………………………………………………….

Ragati and Nzonge operates a business with a stock valued at ksh.350,000 and have interests of 3/5 and 2/5 respectively. Ragati decided to insure 2/4 of the stock against fire. Sometimes later fire occurred at their business premises and destroyed stock worth ksh. 250,000. Calculate the amount of compensation Ragati would get from the insurance company.       (4mks)

Outline four sources of monopoly power.  (4mks)

a)………………………………………………………………………………………...

b)……………………………………………………………………………………………

c)………………………………………………………………………………………….

d)………………………………………………………………………………………….

Name four sources of public finance. (4mks)

a)……………………………………………………………………………………….

b)…………………………………………………………………………………………..

c)………………………………………………………………………………………….

d)………………………………………………………………………………………….

State four benefits that would accrue to a customer who borrows a loan from a non-bank financial institution.        (4mks)

a)…………………………………………………………………………………………..

b)………………………………………………………………………………………….

c)………………………………………………………………………………………….

d)…………………………………………………………………………………………..

Match each of the statements given below with the relevant type of capital.  (4mks)

Statement                                                                                                    Type of capital

(a) Resource invested into a business by the owner

(b) Excess of current assets over current liabilities

(c) Amount invested into the business by outsiders

(d) Represents total finance in a firm

The following information was extracted from the books of farmers choice supermarket on 31^st Dec 2009

                                                                     shs

Average stock                                          30,000

Closing stock                                            40,000

Purchases                                               336,000

Carriage inwards                                       2,000

Return outwards                                     18,000

Margin                                                         1/6

Required. Calculate sales for the year .                      (4mks)

Outline four important characteristics of a general journal.   (4mks)

a)…………………………………………………………………………………………..

b)………………………………………………………………………………………….

c)…………………………………………………………………………………………...

d)………………………………………………………………………………………….

Apex traders provided you with the following

Margin                                  25%

Cost of sales                    15,000

Opening stock                   2,000

Closing stock                     1,000

Operating expenses 2% of capital

Sales and capital are in the ratio of 1:4

Calculate :

(a) Rate of stock turnover

(b) Purchases

(c) Return on capital

Indicate the subsidiary ledger in which each of the following should be recorded.  ( 4mks)

Account                                                                       Subsidiary ledger

(a) Return inwards 

(b) Bank

(c) Drawings

(d) Juma traders (  a debtor)

(e) Discount received

(f) Uchumi wholesalers (a supplier)     

Highlight four types of advertising.                     (4mks)

a)………………………………………………………………………………...

b)………………………………………………………………………………….

c)…………………………………………………………………………………….

d)……………………………………………………………………………………….

State four natural sources of energy in Kenya.  (4mks)

a)……………………………………………………………………………………….

b)……………………………………………………………………………………….

c)……………………………………………………………………………………….

d)………………………………………………………………………………………..

The statement below described various types of goods. Identify the type of goods best described by each statement.   (4mks)

(a) Owned by the government on behalf of its citizens.

(b) Goods that are capable of directly satisfying human  want.

(c) Goods that are used to make other goods.

(d) Goods that get spoilt within a very short time.

Identify four reasons why many youths in urban centre are starting hawking businesses.  (4mks)

a)………………………………………………………………………………………….

b)………………………………………………………………………………………….

c)…………………………………………………………………………………………....

d)…………………………………………………………………………………………....