KNEC KCSE Business Studies Paper 2 Question Paper / 2016 KCSE MOKASA Joint Examination
2016 KASSU JET JOINT EXAMINATION
Business Studies Paper 2
1.
(a) Explain five principles of insurance.
(b) Study the following table of the demand and supply of product x.
Period 2010 Price / units Qtn dd / units
July Shs 300 500
August Shs 300 400
September Shs 300 200
October Shs 300 80
November Shs 300 50
Explain five factors that may have led to the trend above.
20 marks
2.
(a) Giving the types of unemployment, state the causes of the remedies.
(b) You are a sales executive with a local bank. Describe five steps that you must follow when sent to
the field to promote the products of the bank. (10 marks)
20 marks
3.
(a) Discuss five reasons why a country’s economy is showing slow increase in their National Income
(10 marks)
(b) Explain five problems that are likely to face the process of implementation of well-prepared
economic development plans (10 marks)
20 marks
4.
(a) On 1st June 2015, Ndovu Traders had cash in hand of sh.25,000 and sh.56,200 at bank.
During the month, the following transactions took place:
2015
June 2 Cash sales, sh.42,000.
June 5 Received a cheque of sh.70,500 from Kiptala Traders after deducting a6% cash
discount.
June 8 Paid salaries, sh24,000cash.
June 9 Yegon settled his account of sh.45,000 in cash and was allowed sh.l,800cash
discount.
June 12 Cash sales sh46,500.
June 18 Paid Tuitoek’s debt of sh.l00,000 by cheque after deducting 5% cash discount.
June 24 Withdrew sh.26,000 from the bank for office use.
June 30 Banked all the cash except sh.25,000.
Prepare a 3-column cashbook and balance it off on 30th June, 2015. (10 marks)
(b) Explain five factors that may hinder effective communication in an organization.
(10 marks)
20 marks
5.
(a) Explain five factors that influence the choice of a product to produce. (10 marks)
(b) Discuss five errors that may not be noticed in a trial balance. (10 marks)4. (a) On 1st June 2015, Ndovu Traders had cash in hand of sh.25,000 and sh.56,200 at bank.
During the month, the following transactions took place:
2015
June 2 Cash sales, sh.42,000.
June 5 Received a cheque of sh.70,500 from Kiptala Traders after deducting a6% cash
discount.
June 8 Paid salaries, sh24,000cash.
June 9 Yegon settled his account of sh.45,000 in cash and was allowed sh.l,800cash
discount.
June 12 Cash sales sh46,500.
June 18 Paid Tuitoek’s debt of sh.l00,000 by cheque after deducting 5% cash discount.
June 24 Withdrew sh.26,000 from the bank for office use.
June 30 Banked all the cash except sh.25,000.
Prepare a 3-column cashbook and balance it off on 30th June, 2015. (10 marks)
(b) Explain five factors that may hinder effective communication in an organization.
(10 marks)
20 marks
6.
(a) Explain five factors that influence the choice of a product to produce. (10 marks)
(b) Discuss five errors that may not be noticed in a trial balance. (10 marks)
