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

 Instructions to Candidates

• Answer any five questions.
• All questions should be answered in English.

1.  
   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)
2.  
   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)
3.  
   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)
4.  
   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)
5.  
   1. On January 1^st 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 12^th Jan was dishonoured
           30: Deposited all the cash into bank except sh. 20000
      Required:
      Prepare a three-column cashbook and balance it off.
   2. Explain the procedure of taking an insurance cover.       (10 marks)
6.  
   1. The following trial Balance was extracted from the books of Delta Traders as at 31^st December 2022
                                               Delta Traders
                                               Trial Balance
                                    As at 31^st December 2022
      

      Details	Dr	Cr
      Land  Furniture and fittings  Sock as at 1.01.2022  Purchases/sales  Creditors  Returns  Carriage inwards  Carriage outwards  Equipment  Motor vehicle  Buildings Commission  Discount  Rent  Wages and salaries  Cash  Bank  Capital  5 year KICD loan  Drawings	1200000  540000  50000  30000  2000  5000  10000  250000  600000  230000  20000  5000  293000  145000  15000       3665000	900000    50000      6000  35000  14000  10000  50000  1910000  600000                   3665000

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