Business Studies Paper 2 Questions - Mokasa II Joint Mock Exams 2023

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 Instructions to Candidates

  • Answer any five questions.
  • All questions should be answered in English.
    1. Explain five strategies that may be applicable in Kenya so as to alleviate the problem of unemployment.   (10marks)
    2. Explain five methods through which the government is protecting consumers from exploitation by dishonest traders.   (10marks)
    1. Explain five negative effects of inflation to the economy.     (10marks)
    2. Explain the role of stock exchange market as a market of securities.      (10marks)
    1. Explain five factors to consider when deciding on the product to produce.     (10marks)
    2. Explain five differences between Tied shops and unit shops.      (10marks)
    1. Entrepreneurial activities serves as a tool for economic development. Explain five importance of entrepreneurship to the Kenyan economy  (10marks)
    2. Explain five challenges encountered in the implementation of a development plan.    (10 marks)
    1. On January 1st 2022, Kamusi Traders had shs. 75000 in hand and shs. 350000 at bank. During the month, the followingtransactions took place.
      Jan 2: Cash sales banked shs. 55000
             3. bought stationery in cash Shs. 9000
             8: Paid Kamau, a creditor,shs. 94000 by cheque in full settlement of his account after deducting a 6% cash discount.
           10: Bought goods worth 100000 from Mumai on credit
           12: Received a cheque of 78800 from Allan after allowing her a cash discount of sh. 1200.
           15: Paid wages shs. 54000 in cash
           25: Withdrew shs. 70000 from bank for office use.
           28: Hellen, a debtor paid her account of shs. 85000 by cheque less 10% cash discount.
           29: A cheque received from Allan on 12th Jan was dishonoured
           30: Deposited all the cash into bank except sh. 20000
      Prepare a three-column cashbook and balance it off.
    2. Explain the procedure of taking an insurance cover.       (10 marks)
    1. The following trial Balance was extracted from the books of Delta Traders as at 31st December 2022
                                               Delta Traders
                                               Trial Balance
                                    As at 31st December 2022

       Details  Dr   Cr 
       Furniture and fittings
       Sock as at 1.01.2022
       Carriage inwards
       Carriage outwards
       Motor vehicle
       Wages and salaries
       5 year KICD loan







      Additional information
      Stock as at 31st December 2022 was Ksh 45000
      Drawings of Ksh 33000
      1. Trading profit and loss account.      (8 marks)
      2. Balance sheet           (4 marks)
    2. Explain four forms of economic integration      (8 marks)
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