BUSINESS STUDIES - Form 1 End of Term 1 2019 Examinations

INSTRUCTIONS

Answer all the questions in the spaces provided

1. The table below shows the occupations in production. Indicate the level of production associated with each of occupation. (4mks)
   

   Occupation	Level of production
   Mining
   Oil refining
   Insurance
   Teaching

2. State four reasons as to why it is difficult to satisfy all human wants. (4mks)

3. State four ways in which production activities may negatively impact on community healthy. (4mks)

4. Outline four circumstances that make clothes one of the basic human wants. (4mks)

5. Below are some factors that influences the operation of business enterprise. Indicate with a tick (√) in the appropriate column the business environment associated with each of the factors. (4mks)
   

   Factors	Internal	External
   Depreciation of kenya shilling
   Drought
   Increase in cost of raw materials
   Skilled managers

6. Highlight four measures consumers may use to satisfy unlimited wants. (4mks)

7. State four advantages of division of labour. (4mks)

8. Highlight four reasons that make indirect production superior to direct production.(4mks)

9. Outline the circumstance under which each of the following characteristics of human wants may be observed.
   1. Complimentary wants. (2mks)
   2. Habitual wants. (2mks)

10. List four types of utility and the production activity associated with each of them. (4mks)

11. Give four differences between human resources and man-made resource. (4mks)

12. State four factors that may affect geographical mobility of a labour. (4mks)

13. Outline four differences between goods and services. (4mks)

14. Give four features of subsistence production. (4mks)

15. Give the meaning of the following terms
    1. Renewable resources (2mks)
    2. Non- renewable resources. (2mks)

16. Name the factor of production for each of the following resources (4 mks)
    
    1. Manager
    2. Vehicle
    3. Owner 
    4. Water 

17. Define the following terms scarcity.
    1. Scarcity  (2mks)
    2. Opportunity cost (2mks)

18. Classify each of the following into generic or enterprise competition (4mks)
    1. Coffee seller competing with tea sellers.          
    2. Kenya literature bureau competing with longhorn publisher. 
    3. A television station competing with a radio in entertaining customers.  
    4. Boys of mountain school competing with the girls from lower school in academic.

19. Highlight four ways of improving productivity of labor as a factor of production. (4mks)

20. A manufacturing firm in Kenya has been constantly releasing toxic waste into the neighborhood. Outline four measures that should be taken to stop the firm from such malpractices. (4mks)

21. Highlight four characteristics of economic resources. (4mks)

22. Identify four functions of an entrepreneur in production of a product. (4mks)

23. Identify four types of business activities in Nyeri County. (4mks)

24. Give four types of micro – environmental resources of a business organization. (4mks)

25. Give four reasons that would make an individual engage in business activities. (4mks)