BUSINESS STUDIES EXAMINATION
SECTION A
ANSWER ALL.
This section contains 20 marks
1. What is a business?
a) Provision of goods and services
b) Making profit
c) Selling goods for profit
d) A commercial activity of providing goods and services to make profit
2. Labor as a factor of production involves……………
a) Capital to start a business
b) Human resource skills used in business
c) Land
d) Entrepreneurship
3. The internal environment of a business include………….
a) Political environment
b) Financial status of the business
c) Economic environment
d) Socio-cultural environment
4. Goods are…………………
a) Products sold for profit making
b) Tangible items which can be touched and felt
c) Intangible items which cannot be touched or felt
d) Services
5. The main purpose of the business is to………………
a) Provide goods
b) Make profits
c) Sell products
d) Provide employment
6. What is speciliazation ?
a) Is working in a factory
b) Having an office job
c) This occurs when one worker performs certain specific tasks of a job
d) Doing a well-paid job
7. What is a sole trader?
a) A business operating to make a profit
b) A business operated by two or more people
c) A business owned by one person
8. Capital is……………..
a) Money used to buy assets
b) Money which owed by the business
c) Money used to start a business
d) Money used as working capital
9. Economic problem……………………
a) Arise because the humans have needs and wants
b) Arise due to corruption
c) Arise due to poor performing business
d) Arise due to the fact that human needs and wants are unlimited and the factors of
production are limited
10. The following are different types of economies excerpt
a) Free market
b) Mixed
c) Command/ Planned
d) Direct economy
11. The following are characteristic of a free market economy except
a) All resources are owned by private sector
b) Profit is the main motive
c) Government has control to the means of production
d) Consumers are free to choose form different vendors
12. Business stakeholders are ……………
a) Are students who study business studies
b) Aspiring entrepreneurs
c) People who are affect and are in turn affected by business wether directly or
indirectly
d) University business lecturers
13. The following are business stakeholders excerpt
a) Business owners
b) Government
c) Suppliers
d) Army
14. Three levels of economic production include ……………
a) Primary level
b) High level
c) Low level
d) Medium
15. Business involved in the extraction of raw materials falls under…………
a) Primary level
b) Secondary level
c) Tertiary level
d) Low level
16. Tertiary level …………
a) Are business which provide services and assist both primary and secondary level
b) All business which manufacture and processes the raw materials
c) All business which make a lot of profit
d) All business which are successful
17. Filing is ………………
a) Entering documents in a computer
b) Filing is the process of classifying and arranging of documents and records for easy
retrieval by office staff
c) Using documents in a business
d) Receipting customer payments
18. The following are roles of filing excerpt.
a) Documents are protected from loss and damage
b) It aids in office tidiness and efficiency
c) Helps business to thrive
d) Ensures information is stored systematically and thus can be retrieved easily
19. Disadvantages of open office layout include the following excerpt…
a) Disruption from colleagues
b) Senior workers not placed in areas of privacy and it becomes difficult to communicate
with juniors
c) Provides tidy and business like appearance
d) Overcrowding, air conditioning, lighting and heating in the room may not conducive
to all.
20. What is office layout?
a) Refers to where office is located in the organisations
b) Refers to what is found in the office
c) Refers to the outlook of the office
d) Refers to the outlook, arrangement and positioning of furniture and equipment in an
office.
Total 20 Marks
SECTION B ANSWER ALL
e) State any 3 advantages of a business (3)
f) List and two external environments of a business (2)
g) Explain how any one internal business environment affect the success of a business
(2)
h) State any two types of business activities (2)
i) What are the advantages of specialization (2)
j) Define division of labour. (2)
k) Explain a partnership deed (2)
l) What is a limited liability company (2)
m) Give two advantages of a partnership (2)
n) State any two contents of a business plan (2)
o) Give 2 advantages of using a business plan (2)
p) Why should business operate ethically (2)
q) State the functions of an office (2)
r) Give 3 characteristics of good filing in an office (2)
Total 30 Marks