Form 3 Business Studies Paper 1 questions and answers

Form 3 Business Studies Paper 1 questions and answers

Total of 70 Lessons

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1. Highlight four factors that account for the shift of supply curve to the right()

2. Explain the following in relation to bill of exchange a)Discounting b)Maturity date c)Acceptor()

3. State four requirements necessary to secure a loan from the saccos()

4. Outline four ways in which nature of goods influence the channel of distribution()

5. Highlight four problems faced by the government in measuring national income()

6. Highlight four circumstances under which goods may delay in the bonded warehouse()

7. Highlight four ways a trader benefits from localization of industries()

8. State the documents used in each of the following purposes a)To inform the customer that the account has been reduced b)Contains a summary of transactions for a specified period of time between a seller and the buyer c)To ask a dealer to supply specific goods d)To inform a customer that the account has been increased()

9. The following trial balance was incorrectly prepared Task: prepare a correct trial balance ()

10. The following are special delivery services provided by the post office: Post restante, speed post,business reply service and express delivery. Match each description with the term a)The arrangement to deliver the mail of senders post office b)The arrangement to deliver the mails to the addresses post office c)Services offered to travelers who wish to receive correspondence while away from home ()

11. Outline any four reasons that account for the popularity of motor bikes as a means of transport()

12. Give four measures being used by the government to attract foreign investors()

13. Highlight four limitations of consumer initiated methods of consumer protection.()

14. The following information relates to Buda traders Capital on 1st jan 2015 sh 700000 Drawing during the year sh 80000 Investments during the year sh 460 000 Capital on 31 st December 2015 sh. 900000 Required: determine the net profit or net loss of the business()

15. Outline four characteristics of oligopoly market()

16. Outline five positive implications of high population growth rate in the country()

17. Give four situations under which insurance policy may be terminated()

18. Airtel mobile company is running “Angulia million promotion”. Highlight four benefits of this method of advertising()

19. An entrepreneur may spot a gap in the market which may be converted into a business idea Identify four such gaps()

20. Outline five differences between a public limited company and a public corporation()

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