4.6.2 Business Studies Paper 2 (565/2)
1.(a) Explain five benefits that may accrue to a country with a large proportion of skilled labour force. ( 10 marks)
(b) Outline five characteristics of an efficient tax system. (10 marks)
2. (a) Explain five benefits that Kenya may get as a member of C .O .M.E.S .A. (10 marks)
(b) Explain five factors that may hinder economic development in Kenya. (10 marks)
3. (a) Explain five benefits that may be realized by a country as a result of government policy to relocate industries to rural areas. (10 marks)
(b)The following balances were extracted from the books of Soilo Traders on 31“ December 2010.
4. (a) Explain five advantages of advertising to the consumer. (10 marks)
(b) On 1*‘ January 2011 ,Jumo Traders had shs 22,500 in cash and shs 250,000 at bank
During the month, the following transactions took place:
Prepare a duly balanced three column cash book. (10 marks)
5.(a) Outline six circumstances under which a trader may use air transport.
(b) Explain four ways through which a public limited company may be dissolved
6.(a) With the aid of a diagram, explain the effect of an increase in the supply of a commodity while its demand remains constant.
(b) Explain five features of oligopoly. (10 marks)
