Business Studies Questions and Answers - Form 1 Mid Term 1 Exams 2022

Questions

1. Define the term business. (2mks)
2. State four importance of business studies in society. (4mks)
3. State the term given to each of the following statements. (4mks)
   1. Activities carries out with a view of making profit. ___________________
   2. Increasing the usefulness of a good or services. ___________________________
   3. Movements of goods from producer to consumers ________________________
   4. A person who use a good or services ___________________________
4. State four types of business activities. (4mks)
5. State whether each of the following factors fall under micro-environment or macro-environment. (4mks)
   

   Factors	Micro/macro- environment
   Competitive environment
   Legal-political environment
   Business structure
   Business culture

6. Differentiate between internal business environment from external business environment.
   1. Internal (2mks)
   2. External (2mks)
7. State four characteristic of human wants. (4mks)
8. State four characteristics of Goods. (4mks)

Marking Scheme

1. Define the term business. (2mks)
   • Business refers to any activity carried out by an individual or by an organsation with an aim of making profit.
     
     
2. State four importance of business studies in society. (4mks)
   • Equips members with knowledge and skills necessary to start business.
   • Helps individual to develop positive attitudes towards the environment.
   • Enable one to understand the role of government in business
   • Equip one with knowledge and skill required to evaluate business performance.
     
     
3. State the term given to each of the following statements. (4mks)
   1. Activities carries out with a view of making profit.
      • Business
   2. Increasing the usefulness of a good or services.
      • Production
   3. Movements of goods from producer to consumers
      • Distribution
   4. A person who use a good or services
      • Consumer
        
        
4. State four types of business activities. (4mks)
   • Extraction
   • Construction
   • Trade
   • Processing of row materials
     
     
5. State whether each of the following factors fall under micro-environment or macro-environment.
   

   Factors	Micro/macro- environment
   Competitive environment	Macro
   Legal-political environment	Macro
   Business structure	Micro
   Business culture	Micro

6. Differentiate between internal business environment from external business environment.
   1. Internal (2mks)
      • These are factors that are within the business itself.
        
        
   2. External (2mks)
      • These are factors that affect the business from outside.
        
        
7. State four characteristic of human wants. (4mks)
   • They are insatiable
   • Some are universal
   • They are competitive
   • They vary in intensity and urgency.
     
     
8. State four characteristics of Goods. (4mks)
   • Are tangible
   • Can be stored
   • Can be standardized
   • Can change possesion.