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Form 2 Business Studies questions and answers model test paper 3

Give four differences between an invoice and a pro-forma invoice

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Questions/Lessons List

1. Outline four main reasons why business enterprises exist. ( free lesson)

2. Highlight four benefits that a community should derive from a manufacturing firm ( free lesson)

3. Outline four measures to br taken by a businessman to improve internal business environment ( free lesson)

4. State four ways in which HIV and AIDS prevalence has negatively affected business activities ( free lesson)

5. Outline four difficulties faced by a consumer in the process of satisfying his/her wants ( free lesson)

6. State four reasons why choice is important in the satisfaction of human wants ( free lesson)

7. Identify the utility created by each of the following a)Carpentry b)Shop-keeping c)Teaching d)Importing ( free lesson)

8. Give four reasons why occupational mobility of skilled labour is slow ( free lesson)

9. State four circumstances under which an entrepreneur may want to change his or her business ( free lesson)

10. Explain four measures that the government can take to enhance entrepreneurial culture in Kenya ( free lesson)

11. Identify the office equipment used to perform each of the following: a)Removing pins from papers b)Printing postage impression on envelopes c)Transmitting printed messages e.g envelopes d)Posting information to ledgers and preparation of payrolls ( free lesson)

12. State four ways in which a well-planned office layout contributes towards efficiency of operation in an organization ( free lesson)

13. Give four differences between an invoice and a pro-forma invoice ( free lesson)

14. Credit cards are increasingly being used in transactions in Kenya. Highlight four disadvantages of using credit cards. ( free lesson)

15. Give four reasons for privatization of government owned firms ( free lesson)

16. Distinguish between a share and a debenture as a source of finance for a public limited company ( free lesson)

17. State factors that limit effectiveness of consumer organization in protecting consumers in Kenya. ( free lesson)

18. Give four benefits of export processing zones in Kenya ( free lesson)

19. State four roles played by Kenya ports authority in ensuring that sea transport operates effectively ( free lesson)

20. Highlight four reasons why the motorbikes are quickly replacing bicycles as a choice for clients ( free lesson)

21. State four reasons why courier services are becoming popular in the delivery of letters and parcels ( free lesson)

22. Despite the remarkable shift to mobile phone system, landlines are still in use. State four reasons why organisations are still using landline communication ( free lesson)

23. Highlight four features of a bonded warehouse ( free lesson)

24. State four measures that the owner of a warehouse may take to ensure its smooth operation. ( free lesson)

25. Outline any four benefits of “pooling of risks” to insurance company ( free lesson)

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