SULIMO JOINT EXAM – JULY 20205
Kenya Certificate of Secondary Education
NAME …………………………………………………. ADM NO: ……………DATE ……………….............................SIGNATURE ………………………….CLASS …………………………………
565/2
BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS
INSTRUCTIONS TO ALL CANDIDATES
Write your name and admission number in the spaces provided above.
Sign and write the date of the examination in the spaces provided above.
Answer any FIVE questions.
All questions carry equal marks
a) Discuss five sources of business ides available to potential investors
in Kenya. (10 marks)
b) Explain Five monetary policy measures that the Kenyan government may
adopt to control inflation in the country. (10marks)
2. a) Explain Five measures that the government may put in place to create an
enabling environment for businesses to grow and expand. (10marks)
b) Using a well labeled diagram, explain the effects of increase in demand for a commodity on market equilibrium when its supply remains constant. (10 marks)
3. a) Explain five differences between cooperatives and public limited companies. (10 marks)
b) On 1 Jan 2024, ABC Traders had 180,000 cash in hand and a bank credit balance of sh. 57,500. During the month, the following transactions took place.
2024
Jan 3 Cash sales sh. 21,800.
4 A debtor settled his account of sh. 90,000 by cheque.
10 Paid salaries sh. 40,000 in cash.
12 Took cash sh. 3,500 to settle a personal debt.
23 Received a cheque of sh. 8,460 from a debtor after deducting
6% cash discount.
24 Deposited sh. 10,000 in the bank from the office.
25 Purchased stock worth sh. 8,950 on credit.
Preview Ends Here