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Form 3 Business Studies Paper 2 End of Term 3 Examination 2021
Class: Form 3
Subject: Business Studies
Level: High School
Exam Category: Form 3 End Term 3 Exams
Document Type: Pdf
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Exam Summary
TUTORKE EXAMS
Name…………………………………………………………………. Adm No………………
School…………………………………………………………………Signature…………….
Date…………………………………………
BUSINESS STUDIES
PAPER 2 565/2
TIME: 2HRS END TERM 3 FORM 3
Answer FIVE questions in the answer booklet provided
1. (a) Outline five advantages that a partnership has over a sole proprietorship. (10mks)
(b) Explain how five external environment factors negatively affect a business. (10mks)
2. (a) Explain five factors to consider when choosing office equipment. (10mks)
(b) Kenya does not manufacture mobile phones. Describe five channels of distribution that are used to ensure those products reach the Kenyan consumers. (10mks)
3. (a) Discuss any Five current trends in communication (10mks)
(b) a) Explain five features of oligopoly. (10 marks)
4. (a) Explain the causes and remedies of the following types of unemployment. (10 marks) (b) With the help of a well labeled diagram, state the effect of the shift of the supply curve to
the left when demand is held constant. (10mks)
5. (a) Highlight Five factors that influence the level of national income in an economy. (10mks)
(b) As at 1st June 2019, the books of Ang’eeh showed the following balances:
Cash Kshs. 20,000 and bank overdraft amounting to Kshs. 8, 600
June 3: Nafula, a debtor, settled her account of Kshs. 16,000 by a cheque
of kshs.15,000.
6: Paid rent by cash ksh. 8,000
10: Deposited kshs. 6,000 into the business bank account from the cash till.
15: Settled Wanjala’s Account of shs. 20,000 and was allowed a discount of 1%
18: Deposited kshs. 28,000 in the bank from private resources
21: Cash sales kshs. 10,000
24: Ojugu, a debtor settled his account of 8,000 by cheque having deducted a 20% discount.
26: Purchased furniture of kshs.5,000 paying by cheque
28: Received kshs. 36,000 cash from Nabwire
29: The cheque deposited by Nafula on 3rd was dishonored
30: Banked all the available cash except kshs.1,600
Required: Prepare a duly balanced three column cash book for Ang’ech for the month of June 2019. (10mks)
6. (a) Explain the meaning and the circumstances under which each of the following means of payment may be used ;
(i) Cash
(ii) Credit transfer
(iii) Bank draft
(iv) Standing order
(v) Postage stamps
(b) Give five differences between small scale firms and large scale firms (10mks)
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