BUSINESS STUDIES

(PREDICTIONS TRIALS 1-10)

Final series of Possible Questions expected to be examined in the forthcoming Final

Exams. This provides a framework and means of illumination to guide our candidates in
preparation for the KCSE Examinations scheduled for November 2024

The following are Questions to expect in KCSE 2024.

CONFIDENTIAL!

For Marking Schemes

Mr Isaboke 0746 222 000 /0742 999 000

ALL THE BEST IN KCSE!

KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 1
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS TO CANDIDATES
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 25 questions.
d) Answer all the questions in this paper.
e) All your answer must be written in the spaces provided in the question paper
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.

FOR EXAMINER’S USE ONLY

Question 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Candidate’s
score

17 18 19 20 21 22 23 24 25 TOTAL
MARK

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Answer all the questions in this paper

1. Give four features of Basic human wants. (4 marks)
2. State four essential elements of effective communication. (4 marks)
3. Outline four sources of government revenue. (4 marks)
4. State four ways in which a good filing system may facilitate the operation of an office. (4 mks)
5. Outline four circumstances in which the government may be involved in businesses. (4 mks)
6. Outline four reasons that may make a producer to by-pass the wholesaler when distributing
goods. (4 marks)
7. Highlight four ways in which inflation is beneficial to a country. (4 marks)
8. Highlight four types of demand. (4 marks)
9. Classify the following resources as natural, man-made or human. (4 marks)
RESOURCES CLASSIFICATION
a) Engineer
b) Boat
c) Soda ash
d) Driver
10. The following trial balance was wrongly prepared by Shida Shida traders.
Shida Shida Traders
Trial Balance
For the year ended 31/12/2023
ITEMS CREDIT DEBIT
Building 400, 000
Return inward 5,400
Carriage inward 4,000
Carriage outward 6,800
Rent received 1,200
Creditor 10,100
Debtor 17,900
Return outward 800
Stock 8,000
Bank overdraft 19,500
Prepaid insurance 9,000
Motor vehicle 200,000
Capital 619,500

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Prepare the correct trial balance of Shida Shida Traders. (5 marks)

11. Outline four differences between ordinary shares and preference shares. (4 marks)
Ordinary shares Preference shares
a) a)

b) b)

c) c)

d) d)

12. State the financial ratio described by each of the statement below. (4 marks)
Statement Ratio
a) Determine the rate at which goods move in and out of the
Business.
b) Determine whether it was worth investing in the Business.

c) Compare current assets with current liabilities

d) Gross profit expressed as percentage of net sales.
13. Highlight four causes of unemployment. (4 marks)
14. Outline four characteristics of an open air market. (4 marks)
15. Indicate the effect of each of the following transactions on assets, liabilities and capital by using
increase, decrease or no effect. (4 marks)
Transaction Assets Liabilities Capital
a) Cashed a cheque for personal
use.
b) Bought premises on credit.
c) Paid a creditor by cash.
d) Converted a personal car into
business use.

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

16. Outline four functions of an entrepreneur. (4 marks)

17. State four reasons why flower exporter would transport their produce by Air rather than by sea.
(4 marks)
18. State four types of advertising. (4 marks)
19. Give four basic features of a market. (4 marks)
20. Highlight four factors that limit the growth of a country’s National income. (4 marks)
21. List four books of original entry that may be used to record transactions affecting stock.(4 mks)
22. Outline four services offered by commercial banks to their customers. (4 marks)
23. Outline four goals of development in Kenya. (4 marks)
24. Highlight four ways in which the balance of payment of a country may be improved.
(4 marks)
25. The following balances were extracted from the books of Twain Traders on 30th April 2024.
Premises 202,000
Creditors 60,500
Bank 5,200
Debtors 18,800
Bank overdraft 52,200
Determine the net worth of the business as at 30th April 2023. (3 marks)

All the Best!

THIS IS THE LAST PRINTED PAGE

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 1
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS TO CANDIDATES
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 6 questions.
d) Answer any five questions in the spaces provided.
e) All questions carry equal marks
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.

FOR EXAMINER’S USE ONLY

Question Maximum score Candidate’s score
20
20
20
20
20
TOTAL

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. (a) Highlight five ways in which micro environment can lead to success of a business.
(10 marks)
(b) Explain five advantages of locating firms to different parts of the country. (10 marks)

2. (a) Outline five circumstance a firm may find it necessary to advertise its products. (10 mks)
(b) Explain five areas in which government expenditure can be channelled to stabilize the economy
of a country. (10 marks)

3. (a) Explain five ways in which consumers may benefit from warehousing. (10 marks)
(b) Highlight five reasons why some African countries are reluctant in implementing free trade
agreement. (10 marks)

4. (a) Explain five benefits that a firm may enjoy by preparing a business plan. (10 marks)

(b) The following balances were extracted from the books of Tango Traders on 31 st December 2020.
Item Shs.
Building 208, 000
Bank overdraft 125, 000
Debtors 43, 000
Creditors 118, 000
Motor vehicle 660, 000
Closing stock 80,000
Lighting 10, 000
Discount allowed 10, 800
Rent income 40, 800
Repairs on buildings 4, 600
Interest on loans 8, 900
Capital 711, 500
Additional information
Gross profit margin is stated at 20%.
Cost of goods sold Sh. 120, 000.

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Prepare:
i) Profit & loss account for the year ended 31st December 2020. (5 marks)
ii) Balance sheet as at 31st December 2020. (5 marks)

5. (a) Explain five features of oligopoly market structure. (10 marks)

(b) Explain five problems faced by public corporations in Kenya. (10 marks)

6. (a) Explain five types of small scale retail shops with a fixed premise. (10 marks)
(b) Use the following transactions to prepare Tikoi Traders Two Column Cash Book for the month of
June 2022. (10 marks)
1st June: Had Sh. 10, 500 in cash and Sh. 6, 500 at the bank.
2nd June: Received a cheque of Sh. 50, 000 from Tosh.
4th June: Paid wages Sh. 2, 500 cash.
6th June: Sold goods worth Sh. 9, 250 cash.
7th June: Withdrew Sh. 5, 500 from the bank for family use.
9th June: Purchased goods worth Sh. 15, 800 by cheque.
12th June: Paid Gael, a creditor by Cheque Sh. 5, 000.
15th June: Brought into the business additional cash of Sh. 15, 000 from private sources.
20th June: Deposited Sh. 8, 500 from the office into the business bank account.
28th June: Used all the cash in hand to purchase equipments leaving no balance.

All the Best!

THIS IS THE LAST PRINTED PAGE

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 2
BUSINESS STUDIES
565/1
PAPER 1
TIME: 2 HOURS
NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

Kenya Certificate of Secondary Education.

INSTRUCTIONS
a) Write your name and admission number in the spaces provided above.
b) Sign and write the date of examination in the spaces provided above.
c) Answer all the questions.
d) All answers should be written in the spaces provided in this booklet.
e) Candidates should answer all the questions in English.

For Examiner’s Use Only

Question 1 2 3 4 5 6 7 8 9 10 11 12 13
Marks

Question 14 15 16 17 18 19 20 21 22 23 24 25
marks

Total marks
For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. Identify the rewards of the following factors of production. (4Marks)

Factor Reward
(a) Limestone ……………………………………………………………………..
(b) Teacher ……………………………………………………………………..
(c) Exchange of goods ……………………………………………………………………..
(d) Landlords ……………………………………………………………………..
2. Outline four circumstances under which a firm would be located near the market for its p product.
(4 Marks)
3. State four unethical practices that traders should avoid in product promotion. (4Marks)
4. Nundu and Thuku bought a building for Kshs 12,000,000. The building was insured for 8,000,000
against the risk of fire. Later the building was partially destroyed by fire to a tune of Kshs 6,000,000.
(a) State the amount of compensation likely to be paid by the insurance company. (3Marks)
(b) Give a reason for your answer. (1Mark)
5. Outline three reasons why a seller may prefer cash with order (C.W.O) Policy in his operation.
(3Marks)
6. Study the diagram below and answer questions that follow.
B

FIRMS HOUSEHOLDS

(i) What does this diagram represent? (1Mark)

(iii) Identify what letters A,B,C and D in each represent. (4Mark)
7. The final capital for Mundu’s business for the year ended 30th June 2022 was Kshs90, 000. During
the trading period he made a loss of Kshs5000 and the additional investment of Kshs46, 000 and
drawings of Kshs5, 100. Calculate the initial capital. (4Marks)
8. The per capita income in a country X was £350 in January 2020. At the end of the year the per
capita income had increased to £420. State four reasons why the standards of living of the people
in the country X may not have risen during the year. (4Marks)
For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

9. Highlight four reasons why motorbikes have replaced bicycles as the choice for transport.(4mks
10. The diagram below shows a demand curve DoDo and DIDI. Highlight four factors to account for
the above shift. (4Marks)

D1
Do

Price

D1
Do
Quantity

11. A business opportunity exists where there is a gap to be filled in the market. State four situations
that may create a gap. (4Marks)
12. State four factors that may limit an individual’s ability to satisfy his basic human wants.(4mks)
13. The following details relate to Kango Traders as at 31. 12. 22
Shs.
Sales 300,000
Stock (1/1/23) 45,000
Stock (31/12/23) 35,000
General expenses 25,000
Capital 400,000
Margin 25%
Calculate;
(a) Purchases (2Marks)
(b) Net profit (1Mark)
(c) Rate of turnover (1Mark)
(d) Rate of return on capital (1Mark)
14. State three reasons why people hold money. (3Marks)
15.Name four features that distinguish economic growth from economic development.(4Marks)
16. Outline four circumstances under which partnership may be dissolved. (4Marks)
17. As a banker to the government state four services that the central Bank renders to the government.
(4Marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

18. The following transaction relate to Mawo traders. Indicate the accounts to be debited and credited
(4Marks)
Transactions Account to be debited Account to be credited
(a) Withdraw cash from the bank for office use.
(b) Bought goods on credit

(c) Took shs 500,000 from the cash till to pay

his son’s dowry
(d) Converted his lorry into business motor
vehicle.
19.Highlight four circumstances under which a manufacturer would not require substantial
warehousing. (4Marks)
20. State four uses of an invoice to a seller of goods. (4 Marks)
21. Outline four errors which do not affect the agreement of a trial balance. (4 Marks)
22. Match the accounts below with the appropriate types of ledger where they are kept. (4 Marks)
(a) Returns inwards …………………………………………………………………………………
(b) Drawings ………………………………………………………………………………………..
(c) Bank …………………………………………………………………………………………….
(d) Discount received ………………………………………………………………………………
23. Enter the following transactions is the two-column cash book of Katundu traders given below.
(4Marks)
2021
Feb 10 - Paid a creditor Shs.7, 500 by cheque
20 - Received Shs.5, 000 in cash from Muthiani a debtor
25 - Deposited Shs.12, 500 into a bank
28 - Paid wages Shs.2, 400 in cash
24. Mula and Museba have each taken life assurance cover. State four reasons why Mula is to pay
higher premiums than Museba. (4 Marks)
25. State four limitations of using mobile phone in communication. (4Marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 2
BUSINESS STUDIES
565/2
PAPER 2
TIME: 2½ HOURS
NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

Kenya Certificate of Secondary Education.

INSTRUCTIONS TO CANDIDATES
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 6 questions.
d) Answer any five questions in the spaces provided.
e) All questions carry equal marks
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.

FOR EXAMINER’S USE ONLY

Question Maximum score Candidate’s score
20
20
20
20
20
TOTAL

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

QUESTIONS
1. a) Explain five benefits of division of labour to an organization. (10 mks)
b) With the aid of a diagram, explain the effect of an increase in the supply of a commodity while
its demand remains constant. (10mks)

2 a) Explain five ways in which central bank of Kenya may control the supply of money in the
country (10mks)
b) Explain five characteristics of property insurance. (10mks)

3 a) Highlight any five merits of direct tax. (10mks)

b) Explain the differences between a public company and a public corporation (10mks)

4 a) Explain five features of oligopoly. (10mks)

b) Kenya is experiencing a general increase in prices of commodities. Explain any five causes of this
trend. (10mks)

5 a) On July 2022, Ufanisi Traders had cash in hand sh 3,500 and cash at bank shs. 140,000. The
following transactions took place during the month
July 2: Cash sales sh 42, 000 was paid direct into the bank.
July 3: Received a cheque of sh 15000 from Kariuki in full settlement of his debt.
July 8: Bought goods by cheque sh 26000.
July 13; Paid Wanjiku by cheque sh 24000 after deducting 5% cash discount.
July 17; Withdrew sh. 40,000 from bank for office use.
July 22; Bought office furniture by cheque sh. 50,000
July 27; Received a cheque for sh 9000 from Waweru after deducting a 5% cash discount.
July 30; Banked all the money except sh. 7000Required:
Prepare a Three-Colum cash book and balance it off. (10mks)

b) Explain five factors that would influence the choice of office layout to be adopted by a firm.(10mk

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

6 a) The following information related to Rashid Traders for the year ended 31st May 2019. (10mks)
Shs.
Purchases 150,000
Opening stock 40,000
Closing stock 10,000
Margin 40%
Total expenses 5,000
Capital 100,000

Calculate:
a) The mark-up (1mk)
b) Cost of goods sold (2mks)
c) Gross profit (2mks)
d) Sales (2mks)
e) Net profit (1mk)
f) Rate of return on capital (2mks)

b) Explain five challenges facing the transport industry in Kenya today (10mks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 3
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

Instructions to Candidates
a) Write your name and Admission number in the spaces provided above.
b) Sign and write the date of examination in the spaces provided above
c) Answer ALL the questions in the spaces provided below each question.
d) All your answers must be written in English.
For Examiner’s Use Only

QUESTION 1 2 3 4 5 6 7 8 9 10 11 12 13
Candidate Score

QUESTION 14 15 16 17 18 19 20 21 22 23 24 25
Candidate Score

TOTAL
MARKS

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. Name the internal environment described by the following statements. (4 marks)

Description Type of Internal
Environment
a) Allows duties to be allocated to the right people thus resulting in
higher productivity.
b) Helps the business achieve its objectives e.g. higher production
level of goods and services.
c) Makes employees to acquire norms and code of conduct that is
acceptable to all.

d) Level of knowledge of the entrepreneur

2. State four reasons why choice should be made in satisfying human wants. (4 marks)
3. You have been charged with a duty of preparing an Article of Association for your company. State
four items that you will include in your Article of Association. (4 marks)
4. State four reasons why consumers need protection from unscrupulous traders. (4 marks)
5. Highlight four contents of a cover note. (4 marks)
6. State the books of original entry in which each of the following transactions would be recorded.
(4 marks)
Transactions Books of original entry
a) Bought a machinery on credit
b) Received sh. 40,000 from Mweni a debtor
c) Sold goods worth sh. 20,000 on credit to Salama
d) Returned goods previously bought on credit to Wainaina
7. The following information relates to commodity ‘X’.
Year Price (shs)
2010 450
2014 675
a) Calculate the consumer price index. (3 marks)
b) Comment on your answer. (1 mark)
8. State four benefits that consumers get from warehousing. (4 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

9. The following information relates to Kitui Traders for the year 2023.
Turn over Sh. 270,000
Margin 40%
Rate of turnover 6 times
Expenses Sh. 40,000
From the information given above, Calculate:-
(a) Net profit. (2 marks)
(b) Average stock (2 marks)
10. Outline four differences between perfect competition and monopoly. (4 marks)
11. Outline four features of an economic union level of economic integration. (4 marks)
12. Highlight four monetary tools that may be employed by the government to increase the amount
of money in circulation. (4 marks)
13. State four ways of creating the utility of goods and services. (4 marks)
14. Outline four sources of business idea. (4 marks)
15. State whether the tax described below is direct or indirect (4 marks)
a) Stamp duty ………………………………………………
b) Wealth tax ………………………………………………
c) Excise duty ………………………………………………
d) Value added tax ………………………………………………
16. Outline four current trends in the road transport in Kenya today. (4 marks)
17. State four negative implications of production activities on the community. (4 marks)
18. Give any four causes of changes in asset stock. (4 marks)
19. State four benefits a trader may get by advertising products using posters. (4 marks)
20. Outline four goals of development. (4 marks)
21. A business enterprise had a cash balance of 50,000 and overdraft of sh 15,000 on 1 st June 2007.
The following transactions were conducted.
June 2, A debtor paid sh 40,000 by cheques
June 10, The business bought stock sh 10,000 in cash and paid a creditor sh. 5,000 by cheque
June 15, Sold goods sh 30,000 cash.
Required: Prepare a two column cash book. (4 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

22. The diagram below represents the demand and supply of bananas in the local market.

Highlight four consequences of selling the bananas at price P2. (4 marks)

23. Outline four circumstances under which one may use signs in communication. (4 marks)
24. State four circumstances under which a business organization may decide to dispose off a
machine. (4 marks)
25. Omamo bought goods worth Sh. 100,000 from Jabali Traders on 2 nd January 2022. He was
given 5% trade discount and a cash discount as follows; 2% if payment is made within 30 days, 5%
if payment is made within 15 days and 10% if payment is made within 10 days.
Calculate the amount he will pay after a fortnight. (4 marks)

All the Best!

THIS IS THE LAST PRINTED PAGE

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 3
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTION TO CANDIDATES
a) Write your name and stream in the space provided above.
b) This paper consists of six questions
c) Answer any five questions of your choice in the spaces provided.
d) All questions carry equal marks
e) Students should answer the questions in English.

For Examiner’s Use Only

Question Maximum Score Candidate’s Score
1 20
2 20
3 20
4 20
5 20
6 20
Total

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. a) Kenya experiences frequent increase in prices of essential goods and services.

Explain five factors that causes the above trend. (10 marks)
b) Highlight five benefits of turning a private limited company into public limited company
(10 marks)

2. a) Explain five measures that the government may put in place to reduce the amount of
money in circulation (10 marks)
b) Explain five features of economic resources. (10 marks)

3. a) Explain five benefits that may accrue to a community involved in home trade (10 marks)
b) The following balances were extracted from books pf Victoria’s traders for the year end 31/12/2021
SHS
Rent 48,000
Lighting 7,200
Water 9,220
Salaries 75,000
Commission received 12,370
Discount allowed 4,600
Discount received 8,500
Gross profit 320,000
General expenses 98,000
Stock 25,250
Motor vehicle 2,300,000
Furniture 650,000
Debtors 270,000
Creditors 396,400
Bank 200,000
Cash 50,000
Capital 3,000,000
prepare;
(i) profit and loss account for the year end 31/12/2021 (5½ marks)
(ii) balance sheet as at 31/12/2021 (4½ marks)

4. a) Explain five circumstances under which an insurer may not compensate the insured
after the occurrence of the risk (10marks)
b) Explain five merits of direct taxes (10 marks)
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

5. a) Highlight five sales promotional methods which may be used by traders to increase
sales volume of their products (10 marks)
b) The following transactions relates to Kajembe traders for the month of May 2023.
May 1: Balance brought down cash shs.16,500 and Bank shs.19,847
May 2: Sold goods worth shs.1,348 to Paul and received a radio in exchange.
May 5: Paid transport by cheque shs.2,000
May 6: Issued a cheque to Sakwa traders settling an invoice for shs.10,000 deducting 2% cash discount.
May 10: Transfer shs.15,000 from cash till to bank.
May 12: Sold goods for cash shs.12,000 less 2% cash discount.
May 13: Sold goods to Onyango on credit worth shs.15,000
May 14: The owner of the business withdrew shs.3,000 in cash to buy a present for the daughter.
May 16: Received a cheque from Kuria shs.2,500 less 5% cash discount.
May 22: Bought furniture from Wako traders in credit worth shs.16,500 and cash discount of 10% if
payment is made within 2 weeks.
May 24: Withdrew cash from bank for office use shs.8,000
May 26: The owner brought into the business shs.9,000 cash.
May 27: Issued a cheque to Wako traders for amount due.
May 28: Sold goods to Kuria worth shs.5,000 for shs.3,800 and received a cheque.
May 30: Banked all cash and remained with shs.1000 in the cash till.

Required: Prepare Kajembe Traders three column cash book for the month of may 2023.
(10 marks)

6. a) Highlight five factors that may negatively affect the demand for a product in the market.
(10 marks)
b) Discuss five reasons why less developed countries are reluctant in implementing free trade
agreement. (10 marks)
THIS IS THE LAST PRINTED PAGE

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 4
565/1 Business Studies Paper 1
Time: 2 Hours

NAME…………………………………………………………………………………………

SCHOOL……………………………………………… SIGN…………………………..

INDEX NO……………………………………………. ADM NO………………………

Kenya Certificate of Secondary Education.

INSTRUCTIONS TO CANDIDATES.
1. Write your name, admission number and stream in the spaces provided above.
2. This paper consists of 25 questions. Check to ascertain that all pages are printed as indicated and
that no question is missing.
3. Candidates should answer all questions in the spaces provided in English.

FOR EXAMINERS USE ONLY.

QUESTION 1 2 3 4 5 6 7 8 9 10 11 12 13
SCORE

QUESTION 14 15 16 17 18 19 20 21 22 23 24 25
SCORE

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Answer all questions in the spaces provided

1. Name four forms of economic integration. (4 marks)
2. Outline four reasons that may lead to slow growth of entrepreneurship in Kenya. (4 marks)
3. In the table given below, indicate using a tick whether each of the following factors influence
demand or supply of a commodity. (4 marks)
FACTOR DEMAND SUPPLY
a Change in number of firms in the industry.
b Change in levels of income.
c Change in population.
d Change in cost of production.
4. Joyce Pauline, a newly employed teacher, has joined Mwalimu Sacco in Kisumu. Outline four
benefits she will get as a result of her membership. (4 marks)
5. State four factors that should be considered when choosing a method of producing documents.
6. List four types of terminals in transport. (4 marks)
7. Outline four challenges that may be faced by a country whose population is largely made up of a
young population. (4 marks)
8. Highlight four reasons that make it necessary for a country to have a development plan. (4 mks)
9. The table below contains levels of production and occupations under each level. Complete the
table by writing the appropriate business activity at each level. (4 marks)
LEVEL BUSINESS ACTIVITY OCCUPATION
Primary
(a)…………………………………………………………… Quarrying, fishing.

Secondary
(b)…………………………………………………………… Flour milling, oil
refining.
(c)……………………………………………………………..
Baking, textile
making.

Tertiary
(d)……………………………………………………………… Hairdressing,
communication.

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

10. The balance sheet prepared Caldera Traders on 1st January, showed capital of Sh. 420,000. During
the year ended 31st December 2022 it was found that:-
(a)Additional investment was Sh. 150,000.
(b)Drawings were Sh. 130,000.
(c)Profits realized by the business was Sh. 210,000.
Required.
Determine Caldera’s capital on 31st December, 2022. (4 marks)
11. State four ways of differentiating products under monopolistic competition. (4 marks)
12. Highlight four measures that may be put in place to control demand pull inflation. (4 marks)
13. State the term given to each of the following forms of advertising. (3 marks)
DESCRIPTION TYPE OF ADVERTISING
a Creates awareness of a product to potential clients
about entry of the new product into the market.
b Promotes a particular brand of a product where the
brand name features more prominently.
c Persuades customers to buy the product implying that
the product is better than any other in the market.
14. Highlight four ways through the government can ensure a clean environment. (4 marks)
15. State four internal economies of scale that a firm may experience. (4 marks)
16. Mazeras Traders had the following account balances as at 30 th June, 2023.
Sh. Sh.
Cash at bank……………………42,600 Furniture…………………………….5,000
Capital……………………………..90,000
Purchases………………………….46,000
Sales……………………………..…40,000 Musa
(debtor)…………………..…2,650
Advertising expense…………..400 Wakesho (creditor)………………1,400
Purchases returns………………600 Cash in hand……………………...28,000
Sales returns………………………350
Drawings………………………………7,000
Required.
Prepare Mazeras Traders trial balance as at 30th June, 2023. (5 marks)
17. Highlight four disadvantages to a customer who operates a fixed deposit account. (4 marks)
18. Explain the entries on 5th and 9th in the two column cash book given below. (4 marks)
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Date Details Folio Cash Bank Date Details Folio Cash Bank
2023 Sh. Sh. 2023 Sh. Sh.
April 5 Balance 2,500 April 5 Balance 4,000
April 8 Sales 7,200 April 9 Bank C1 6,300
April 9 Cash C1 6,300
April 5th
(a)_____________________________________________________________________(1mark)
(b)_____________________________________________________________________(1 mark)
April 9th
(c)_____________________________________________________________________(2marks)
19. Outline four advantages of mail order businesses. (4 marks)
20. Outline four circumstances under which the government may find it necessary to participate in
business activities. (4 marks)
21. Outline four reasons why it is necessary to have an interviewee appear personally before an
interviewing panel during job interviews. (4 marks)
22. Highlight four uses of a general journal. (4 marks)
23. The table below contains descriptions of terms used in public finance. Write the appropriate term
that best fits each description. (4 marks)
DESCRIPTION TERM USED
a An indirect tax charged on certain goods and services
produced for domestic use.
b A major part of government spending made to people who
are not productive in economic sense.
c Is a tax paid to the government by individuals during sale
and transfer of land and real estate.
d This is revenue that is borrowed to finance activities that do
not generate any revenue, for example, recurrent
expenditure.
24. Highlight four characteristics of general insurance. (4 marks)
25. State four types of spending that are considered when measuring the national income of a country
using expenditure approach. (4 marks)

THIS IS THE LAST PRINTED PAGE.

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 4
565/2 Business Studies Paper 2
Time: 2½ Hours

NAME…………………………………………………………………………………………

SCHOOL……………………………………………… SIGN…………………………..

INDEX NO……………………………………………. ADM NO………………………

Kenya Certificate of Secondary Education.

INSTRUCTIONS TO CANDIDATES
a) Write your name and stream in the space provided above.
b) This paper consists of six questions
c) Answer any five questions of your choice in the spaces provided.
d) All questions carry equal marks
e) Students should answer the questions in English.

FOR EXAMINER’S USE ONLY

Question Maximum Score Candidate’s Score
1 20
2 20
3 20
4 20
5 20
6 20
Total

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Answer any five questions

1. a. Explain five Office etiquette expected of office worker. (10 marks)
b. Describe five types of unemployment. (10 marks)

2. a. Explain five differences between sole proprietorship and public limited company. (10 marks)
b. The following trial balance was extracted from the books of Kiliku Enterprises on 31 December
2009.
Account Title Dr. Cr.
Sh. Sh.
Gross profit 440,000
Capital 1,530,000
Furniture 900,000
Land 600,000
Advertising 40,000
Bank overdraft 100,000
Cash 340,000
Stock 140,000
Creditors 130,000
Debtors 180,000
2,200,000 2,200,000

Additional information:
i. The gross profit of Kiliku Enterprises average at a margin of 20%
ii. Stock on 1st January, 2009, was valued at Sh. 104,000.
Calculate:
i) Cost of sales
ii) The value of purchases
iii) Rate of stock turnover
iv) Working Capital.
v) Current ratio (10 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

3. a. Explain five factors that may limit the effectiveness of a warehouse. (10 marks)
b. Explain five reasons for maintaining books of original entry. (10 marks)

4. a. Explain five factors that Siaya county government may consider before incurring any
expenditure. (10 marks)
b. Explain five reasons why per capita income is not a good indicator of standards of living.
(10 marks)

5. a. Explain five benefits that Kenya may enjoy by being a member of African Development Bank
(AfDB). (10 marks)
b. Explain five benefits that an organisation may enjoy by preparing a business plan. (10 marks)

6. a. Explain five reasons that accounts for the continued use of handcarts as a means of transport in
Kenya. (10 marks)
b, Baraka started a business on 1st January 2023 with sh.15,000 in cash and sh. 130,000 in bank.
The following transactions took place during the month:
January 2023-
2 Cash purchases sh, 70,000
4 Paid rent sh. 10,000 in cash
10 Cash sales paid directly into the bank sh. 64,000
13 Deposited sh.50,000 into the bank from cash till
17 Paid wages in cash sh.4,000
19. Bought furniture for sh.36,000 paying sh.27,000 by cheque and the balance was to be paid
later
20 Received sh.16,000 cash from a customer
23 Bought goods for sh. 190.000 by cheque
28 Received a loan of sh.210,000 from Maria in cash
30 Deposited all cash into the bank except sh.8,000
Required; Prepare a single column cash book duly balanced. (10 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 5
565/1 Business Studies Paper 1
Time: 2 Hours

NAME………………………………………………………………………………………

SCHOOL……………………………………………… SIGN…………………………..

INDEX NO……………………………………………. ADM NO………………………

Kenya Certificate of Secondary Education.

INSTRUCTIONS
a) Write your name and admission number in the spaces provided above.
b) Sign and write the date of examination in the spaces provided above.
c) Answer all the questions.
d) All answers should be written in the spaces provided in this booklet.
e) Candidates should answer all the questions in English.

For Examiner’s Use Only

Question 1 2 3 4 5 6 7 8 9 10 11 12 13

Marks

Question 14 15 16 17 18 19 20 21 22 23 24 25
marks

Total marks

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1) Outline four commercial services that are useful to a manufacturer (4 Marks)

2) Kamau operates a shop in a farming area. State four ways in which the farm community can benefit
from the business activity (4 Marks)
3) State four sources of energy that are naturally available in Kenya but not fully exploited
(4 Marks)
4) Outline four ways in which the utility of a commodity is increased (4 Marks)
5) Outline four reasons why production in the subsistence sector is usually low (4 Marks)
6) Use the cash book below to state the transactions that took place on 2nd, 5th and 7th of May 2010.
Date Details Folio Cash (shs)Banks (shs) Date Details Folio Cash (shs)Banks (shs)
1-May Bal 100,000 250,000 2-May Creditors 30,000
3-May Rent 4,000
5-May Bank c₁ 20,000 5-May Cash c₁ 20,000
7-May James 11,000 6-May Drawing 12,000
8-May Bal c/d 104,000 211,000
120,000 261,000 120,000 261,000
8-May Bal b/d 104,000 211,000
Transaction;
2nd --
5th –
6th –
7th –
7) State four errors that do not affect the agreement of a trial balance (4 Marks)
8) Highlight the reasons that have made the use of credit cards (plastic money) popular as means of
payment (4 Marks)
9) Give four malpractices against which consumers may need protection (4 Marks)
10) During a trader’s workshop, a speaker presented a speech on ethical issues in business. Highlight
some ethical issues that he may have raised, affecting business (4 Marks)
11) List the four documents that should be prepared during the formation of a joint stock company
(4 Marks)
12) State four expenses that are incurred in the process of distribution of goods (4 Marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

13) Given below are transactions to Buda traders for each of the transactions, indicate in the column
below the account to be debited and the account to be credited (4 Marks)
Transaction DR CR
(i) Paid salaries in cash

(ii) Withdraw cash from bank for office use

(iii) Paid telephone bill by cheque
(iv) Purchased office equipment on credit from
Eldoret Holdings

14) Highlight four ways in which Kenya is likely to benefit from preparing a proper development plan
(4 Marks)
15) Highlight four principles of government expenditure (4 Marks)
16) The following information was extracted from the books of Kiambu traders
Ksh.
Opening stock 160,000
Closing stock 200,000
Purchases 1,800,000
Margin 20%
Calculate Kiambu trader’s sales (4 Marks)
17) Apart from the price mechanism, state other ways in which prices of goods and services are
determined (4 Marks)
18) State the four forms of economic integration (4 Marks)
19) State the type of insurance/assurance cover Mshamba should take in the following circumstances.
Circumstance Type of Policy
(i) To cover against theft of his property at home
(ii) To take a short period cover in case one is participating in
motor car rally
(iii) To cover loss of cash or goods through theft by any of his
employees
(iv) To cover damage to his/her car, property in the car and
damage to other vehicles

20) Outline four assumptions that would make a two-sector economy to hold (4 Marks)
21) Outline four causes of unemployment in Kenya today (4 Marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

22) State the journal that deals with each of the following types of transaction (4 Marks)
Types of transaction Journal
(i) Sale of fixed asset on credit
(i) Correction of errors
(i) Credit purchases
(i) Return of goods by customers

23) Highlight four factors a trader may consider when determining the appropriate means of transport
(4 Marks)
24) Outline four qualities of a good sales person (4 Marks)
25) Give four reasons why firms choose to remain small in an economy dominated by large firms
(4 Marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 5
565/2 Business Studies Paper 2
Time: 2½ Hours

NAME………………………………………………………………………………………

SCHOOL……………………………………………… SIGN……………………..

INDEX NO……………………………………………. ADM NO………………………

Kenya Certificate of Secondary Education.

INSTRUCTIONS TO CANDIDATES
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 6 questions.
d) Answer any five questions in the spaces provided.
e) All questions carry equal marks
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.

FOR EXAMINER’S USE ONLY

Question Maximum score Candidate’s score
20
20
20
20
20
TOTAL

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

QUESTIONS
1. (a) Explain Five factors that hinders entrepreneurial practices in Kenya today. (10mks)
(b) Outline Five differences between a public corporation and a private limited company.
(10mks)
2. (a) The following Trial balance was extracted from the books of laikipia Traders on 30th may 2023.
LAIKIPIA TRADERS
Trial Balance
As at 30th May 2023

Name of Account Dr (Shs) Cr (Shs)

Sales and purchases 21,000 221,000

Returns 4,000 8,000
Carriage inwards 3,500
Carriage outwards 4,200
Stock (1/05/2023) 10,000
Discount 7,000 9,600
Electricity 4,500
Wages 8,600
Premises 300,000
Debtors and Creditors 13,500 40,500
Cash at bank 47,800
Capital 145,000
Returns
424,100 424,100

Additional information:
Closing stock was valued at shs 7,000.
Prepare : i) Trading, profit and loss Account for the year ending 30th may 2023. (8mks)
(ii) balance sheet as at 30th may 2023.
(b) Highlight four documents that are sent to the seller by the buyer in home trade. (8mks)
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

3. (a) The diagram given below shows changes in the supply curve.

S2 S1
Price

S2 S1

0 Quantity

Explain five factors that may have led to the change from S1S1 to S2S2. (10 mks)
(b) Explain five functions of commercial banks. (10mks)

4. (a) Explain five limitations of using billboards as medium of advertising. (10mks)

(b) Explain five significance of warehousing to the consumers. (10mks)
5. (a) The following balances were extracted from KIVU MERCHANTS books of accounts on
January 2017;
Motor vehicles 250, 000
Furniture 8, 000
Stock 37, 000
Debtors 20, 000
Cash at bank 15, 000
Cash in hand 5,500
ADC loan 100, 000
Creditors 12, 000
Capital 224, 000

The following transactions took place during the month.

January 1 deposited an additional shs.30, 000 from private sources into the business bank
account.
January 5 issued a cheque for shs. 8, 000 to ADC bank which was honoured by the bank.
“ 10 sold goods whose cost was shs.3, 500 at shs.7, 000 and received the proceeds by the
cheque.

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

“ 15 bought a new motor vehicle worth shs.50, 000 having borrowed an additional loan
from ADC bank.
“ 17 took goods worth shs. 1,200 to be used by his family.

“ 20 sold one of the old motorvehicles whose book value was shs.27, 000 at shs. 22,000 on credit.
“ 25 received cash shs.15, 000 from a debtor.
“ 29 paid a creditor by cheque shs.8, 500
“ 30 bought more goods on credit worth shs. 3,200

Required: Prepare KIVU MERCHANT’S balance sheet as at 30th April 2017. (10mks)

(b) Outline five reasons why mobile phones (cell phones) have become popular means of
communication. (10mks)

6 (a) Explain five negative effects of inflation. (10mks)

(b) Explain five reasons why a country may experience balance of payments disequilibrium.
(10mks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 6
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS
a) Write your name and admission number in the spaces provided above.
b) Sign and write the date of examination in the spaces provided above.
c) Answer all the questions.
d) All answers should be written in the spaces provided in this booklet.
e) Candidates should answer all the questions in English.

FOR EXAMINER’S USE ONLY

QUESTION 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
MARKS
16 17 18 19 20 21 22 23 24 25

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Answer all the questions.

1. Outline four strategies put in place by the chain stores management so as to easily publicize their
business. (4 marks)
2. Apart from memorandum and articles of association, name four other documents required by the
registrar of companies during the registration of a public limited company. (4 marks)
3. Identify the parts labeled a,b,c and d. (4 marks)

D S
Price
P1 b

Po a

P2 c

S D

d Quantity

4. Outline four ways in which commerce satisfies human wants. (4 marks)

5. State the purpose of the following terms as used in insurance:
i. With average clause. (1 mark)
ii. Grace period. (1 mark)
iii. Assignment. (1 mark)
iv.Nomination. (1 mark)
6. From the following statements, identify the suitable characteristic of an entrepreneur. (4 Marks)
Statement Characteristic
a) Entrepreneurs are achievers who work
towards set goals.
b) Entrepreneurs can sense opportunities in the
future by observing world trends.
c) Entrepreneurs are commited to their work
d) Entrepreneurs do not give up easily

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

7. Analyze the following document issued by Maalim traders.

MAALIM TRADERS P.O BOX 00134 M,
NAIROBI.

02ND,JULY, 2023

DEBIT
MURIFE LIMITED
P.O BOX 987T
KISUMU

Terms: 17/20, 11/30 & N/30 on Furniture only

Quantity Rate Shs Shillings

60 Dinning tables Mvuli 4000 240,000

4 Beds 2000 8000
50 Coffee Tables 1000 50,000
Less trade discount 10% on totals
4 Floor carpets 2500 10,000
Less 10% trade discount
Carriage 7500

E&OE TOTALS

a) i. Identify the above document. (1 Mark)

b) State the meaning of:
i) E&OE (1 Mark)
c) Calculate the amount paid for the goods, if the debtor paid on 24 th, July, 2023. (2 marks)
8. State the meaning of the following in relation to international trade: (4 marks)
i. F.O.Q
ii. FRANCO
iii. Letter of Hypothecation
iv.Closed indent
9. Given below is a cashbook extract from the books of Kanja
Date Details Folio Disount Cash Bank
Allowed
1/06/08 Bal. B/d 11,000 60,000
5/06/08 Furniture 10,000
24/06/08 Cash C 75,000
29/06/08 Ndereba 6000 114,000
30/06/08 Wairimu 4000 16,000
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

In relation to the entries appearing in the cashbook extract, state the transactions that took place on
each of the following dates: (4 marks)
a) 05th, June, 2008
b) 24th, June, 2008
c) 29th, June, 2008
d) 30th, June, 2008
10. Identify any four units of carriage that can be used to transport containers. (4 marks)
11. Identify the type of error made in recording each of the following transactions in the table
below: (4 marks)
Transaction Type of Error
a) The amount in an invoice for goods
purchased was recorded in the books as
KES 8,000 instead of KES 800
b) Purchase of office machine was debited to
the purchases account.
c) Despite agreement of the trial balance,
sales and purchases had been overstated by
KES 6,000 in each case.
d) A cheque for KES 110,000 was recieved
from Amwoka, debited in his account and
credited in the bank account.
12. State four ways in which employees may contribute to the success of an organization.
(4 marks)
13. For each of the following transactions, state the source document and the book of original
entry in which the transactions would be recorded. (4 marks)
TRANSACTION SOURCE BOOK OF ORIGINAL
DOCUMENT ENTRY
a) Goods worth 760,000 which had been
bought from Andika wholesalers ,in
cash, were found defective and were
returned.
b) Stock of goods worth 138,000 was sold
to Juma on credit.
c) Paid Creditor Masafu 980,000 shillings
cash
d) Bought machinery worth 800,000 on
credit

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

14. Kenya’s total Budget for the 2023/2024 financial year is KES 3.68 trillion shillings. The
budget deficit is 718 Billion out of which 586.5 Billion will be sourced locally and the rest
externally. Advice the Kenyan government on various local and external sources it should turn to
in order to finance her deficit budget. (4 marks)
15. State four positive effects of inflation to an economy. (4 marks)
16. Name the forms of economic integration described by each of the following situations:
(4 marks)
a) Free trade exists between member countries but common external tarrifs are levied on non-
member states……………………………………………………….
b) Has policies of freedom of movement among member states………………………………..
c) Members abolish tariffs, quotas and any other barriers when trading amongst themselves but each
country sets independent barriers for trade with non-member states……………………….
d) Member states establish common infrastructure and institutions among themselves……………...

17. Outline any four ways in which the government may use to entice foreign investors to the
country. . (4 marks)
18. Outline four differences between savings account and fixed deposit accounts. (4 marks)
19. The following information was extracted from the national income statistics of country Z:
Income from land lease and commercial buildings 980,000
Depreciation on capital goods 197,623
Income to entrepreneurs 763,041
Value of exports to Europe 479,109
Income from loans 896,534
Income from labor 814,276
Value of imports 584,298
Determine:
a) Gross Domestic Product (1 mark)
b) Net Domestic Product (1 mark)
c) Gross National product (1 mark)
d) Net National Product (1 mark)
20. Outline four circumstances under which sign language can be the most appropriate means
of communication. (4 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

21. State four ways in which consumers may protect themselves from exploitation against
unscrupulous traders. (4 marks)
22. Name four types of oligopoly markets other than duopoly. (4 marks)
23. List any four details that are contained in a cheque. (4 marks)
24. The following information Elimu traders for the year 2022:
Turnover 270,000
Mark up 20%
Rate of Stock turnover 6 times
Closing Stock 25,986
Required:
a) Gross Profit. (1 mark)
b) Cost of goods sold. (1 mark)
c) Opening Stock. (2 marks)
25. Outline four disadvantages of personal selling. (4 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 6
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of six questions
d) Answer any five questions in the spaces provided after question 6.
e) All questions carry the same marks
f) Non-programmable silent electronic calculators may be used.
g) Candidates should answer questions in English
h) All workings MUST be clearly shown
For Examiner’s Use Only
Question Maximum Score Candidate’s Score
20
20
20
20
20
Total Score 100

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Answer any five questions in the spaces provided

1. a) Every business aims to succeed in today's dynamic and competitive marketplace. Explain five
causes of business success. (10 mks)
b) The supply curve of a product registered a positive shift even though its price remained constant.
Explain five causes that may have led to this shift. (10 mks)

2. a) Indirect production enables people to produce in excess for sale. Outline four reasons why this
type of production is important in an economy. (8 mks)

b) Below are the balances of Kirwa Enterprises as at 1st January 2024.

Furniture 960,000
Cash 200,000
Mukora (Creditor) 270,000
The following transactions took place during the month of April 2024.
2/01/24; Kirwa sold his own furniture for Ksh 300,000 and received payment in cash which he
invested in his business.
05/01/24; He purchased goods for Ksh 100,000 on credit from Mukora
06/01/24; He returned goods worth Ksh 13,000 to Mukora after they were found to be defective.
07/01/24: He took away goods worth Ksh.8,000 to pay her maid.
08/01/24: Sold goods worth Ksh 50,000 for Ksh 40,000 receiving partial payment of Ksh 20,000 in
cash and the balance to be paid later.
Required:
The balance sheet as at 8th January 2024 after the above transactions in order of permanency clearly
showing the workings. (10 mks)

3. a) There is a deliberate effort by firms to shift towards making payments through paperless
money. Highlight five reasons for this trend. (10 mks)
b) Kaka Mwema owns a shipping company with a fleet of 62 ships. He intends to insure them
against various perils associated with sea transport. Advise him on any five policies he can take to
insure his ships against. (10 mks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

4. a) The following information relates to KK Enterprises for the year ended 31 st December 2023.
KK Enterprises
Trial Balance
As at 31st Dec 2023
Item Dr Cr
Premises 5,000,000
Furniture 1,875,000
Capital 6,125,000
Net profit 62,500
Stock 125,000
Debtors 250,000
Drawings 75,000
10-year Bank Loan 2,375,000
Bank 1,212,500
Cash 450,000
Creditors 425,000
8,987,500 8,987,500

Calculate
i) Capital Invested (2 mk)
ii) Borrowed capital (1 mk)
iii) Working Capital (2 mks)
iv) Capital employed (2 mks)
v) Rate of return on capital employed (3 mks)
b) Draw five differences between a Co-operative society and a Public limited company. (10 mks)

5. a) Explain five reasons for the popularity of using internet in product promotion. (10 mks)
b) Explain five negative effects of unemployment. (10 mks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

6. a) The following trial balance was extracted from the books of Rift valley traders as at 31/12/2023
Dr. (Shs.) Cr. (Shs.)
Purchases and Sales 275,000 390,000
Debtors 47,000
Rent 30,000
Returns 10,000 6,000
Carriage on purchases 16,000
Bad debts 13,000
Advertising 10,000
Stationery 12,000
Motor van 450,000
Freehold property 180,000
Bank 210,000
Interest 10,000
Discounts 5,000 13,000
Drawings 25,000
Creditors 52,000
Cash at hand 290,000
Electricity 9000
Stock 1-1-2023 30,000
Capital 689,000

1,390,000 1,390,000

Additional information:
(i) Stock 31-12-2023 Sh.50, 000
(ii) Carriage on sales Sh. 8,000
Required:
Prepare a trading, profit and loss account (10 mks)
b) Explain 5 measures a country may adopt to correct a balance of payment deficit (10 mks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 7
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS TO CANDIDATES
1. Write your name and admission number in the spaces provided above.
2. Answer ALL the questions
3. ALL answers must be written in the spaces provided in this booklet.

FOR EXAMINERS’S USE ONLY

Question 1 2 3 4 5 6 7 8 9 10 11 12

Question 13 14 15 16 17 18 19 20 21 22 23 24 25

TOTAL
MARKS

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. Highlight four micro environmental factors that may cause business failure. (4marks)
2. Indicate the level of production that relates to each of the following activities. (4marks)
ACTIVITY LEVEL OF PRODUCTION
Repairing shoes
Construction of bridge
Picking tea
Milling coffee

3. Musyoka has been self-employed since completion of university education. Outline four
shortcomings of being self-employed. (4marks)
4. ABC Company limited has been the only supplier of commodity X in the entire market. Highlight
four possible sources of its power. (4marks)
5. Outline four circumstances under which a business may prefer partitioned office layout over open
office layout. (4marks)
6. Indicate the business document to which each of the following description relate. (4 marks)
Description Document
Used to alert the buyer that the goods ordered
are on the way.
A reply to a specific enquiry about the goods
sold by the trader.
Used to request for payment before goods are
delivered.
Shows the transactions that have taken place
between the business and the credit customer
for a given period of time.

7. Name the type of business organization described in the following. (4marks)

a) Formed by an act of parliament…………………………………………………...
b) Formed by between two to fifty partners………………………………………….
c) Owned by a single trader…………………………………………………………..
d) A business structure that is a separate legal entity from its owner………………..

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

8. Internet marketing is the process of promoting a business or brand and its products or services over
the internet using tools such as social media, emails and websites. State four benefits that Joan a
trader may get from internet marketing. (4 marks)
9. Highlight four reasons why trader may prefer to hire a warehouse rather than building his/her own
warehouse. (4 marks)
10. Study the diagram below and answer the question that follow:

Identify four ways that may have led to the shift. (4marks)
11. Highlight four reasons why small scale businesses continue to thrive in Kenya, despite the high
competition from the large scale firms. (4marks)
12. A farmer’s house valued at Ksh 1,200,000 was insured against fire for ksh 900,000 under ‘with
average clause’. Fire occurred and damaged the house causing loss of Ksh 500,000. Determine the
value of compensation due to the farmer. (4marks)
13. Highlight four limitations of using consumer-initiated methods in consumer protection. (4mks)
14. List four sources of public finance. (4marks)
15. Indicate whether the following transactions will cause increase, decrease or no effect on the
balance sheet totals. Use (+) for increase, (-) for decrease and (N.E) for no effect. (4marks)
TRANSACTION EFFECT ON BALANCE
SHEET TOTALS
i. Bought stock of goods worth sh. 45 000/- by cash
ii. Sold an old computer for sh. 100 000/- on credit
iii. Additional capital worth sh. 100 000/- introduced by the owner
iv. Cleared a bank overdraft by depositing a cheque worth sh. 20
000/-

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

16. The following figures relate to Mwembe Tayari Traders for the year ended 31 st December, 2022.
ITEM AMOUNT(Ksh)
i. Capital (31st December, 2022) 470 000/-
ii. Net loss 10 000/-
iii. Monthly additional investments 17 500/-
iv. Drawings 30 000/-
Determine capital as at 1st January, 2022. (4marks)
17. The following information was extracted from jimmy traders for the year ending 31 st Dec, 2023.
i) Carriage on sales – 100 000/=
ii) Carriage on purchases – 50 000/=
iii) Stock (1.1.2023) – 200 000/=
iv) Purchases – 700 000/=
v) Return outwards – 25 000/=
vi) Return inwards – 60 000/=
vii) Closing stock – 27 000/=
Required:-
Calculate net purchases. (4marks)
18. Indicate the source document used to record the following transactions. (4marks)
TRANSACTION SOURCE DOCUMENT
i. Received payment worth shs. 50 000/- in cash from a
debtor.
ii. Sale of goods worth shs. 100 000/- on credit
iii. Purchase of stock of goods worth shs. 179 000/=-on
credit
iv. Return of goods worth shs. 15 000/- to suppliers

19. The following amounts to Lewis Retail business for the month of September, 2020.
i) Sales – shs. 500 000/=
ii) Cost of goods sold – shs. 300 000/=
iii) Return inwards – shs. 50 000/=
iv) Expenses were 10% of sales
v) Discount received – shs. 120 000/=
Calculate:-
(a) Mark – up (2marks)
(b) Net profit (2 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
 KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

20. In the spaces provided indicate by writing true or false whether each of the following statements is
true or false about articles of association of a company. (4marks)
Statement True/false
(a) It contains the activities the company is engaged in.
(b) It indicates the procedure to be followed in calling meetings.
(c) It indicates the liabilities of the shareholders.
(d) It contains the rights of each class of shareholders.

21. The following balances were extracted from the books of Spring Valley traders on 30th April
2023.
Sh.
Discounts received 7, 200
Purchases 89, 000
Sales 100, 000
Opening stock 80, 000
Capital 160, 000
Carriage on sales 30, 000
General expenses 68, 200
th
Prepare a trial balance as at 30 April 2023. (4 marks)
22. State four measures that the government may put in place to reduce the amount of money in
circulation. (4 marks)
23. Highlight four categories of business activities. (4marks)
24. List four characteristics of economic resources. (4marks)
25. State the term represented by the following definitions. (4 marks)
(a) This is the value of the best next alternative foregone when acquiring
something…………………………………………………………………………...
(b) This means limited or not adequate in supply………………………………………
(c) Selecting that human want to satisfy first based on the scale of
preference…………………………………………………………………………...
(d) Use of a good or service to satisfy human want……………………………………

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 7
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

Instructions to candidates
1. This paper consists of six questions.
2. Answer any five questions.
3. Write your answers in the answer sheets provided.
4. All questions carry equal marks

FOR EXAMINER’S USE ONLY

QUESTION 1 2 3 4 5 6 TOTAL

MARKS

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Answer any five questions.

1(a) Discuss five benefits that a customer may get by using automated teller machines (ATMs)for
financial transactions (10marks)
b)Explain five demerits of output approach in measuring national income (10marks)

2(a) Explain five government-initiated methods of consumer protection (10marks)

b)Explain five types of direct taxes that the government may use to collect revenue from
individuals and companies (10 marks)

3(a)Explain five clauses that must be specified in Memorandum of Association of a public limited
company (10 marks)
b)The following information relates to Wako traders
Details sh
St
stock 1 January 2023 43000
purchases 95000
sales 123000
carriage outwards 2500
carriage inwards 1000
returns outwards 2000
returns inwards 3000
general expenses 10000
insurance 2500
stock 31st December 2023 47000
calculate:
i) Turnover (1 mark)
ii) Rate of stock turnover (3 marks)
iii) Mark up (2marks)
iv) Margin (2marks)
v) Net profit (2marks)

4(a)Discuss five causes of unfavorable balance of payment for most developing countries (10 mks)
b) Explain five factors that an entrepreneur would consider when evaluating a business idea (10 mk

5 (a) On 1st January 2012, Chumo traders had the following balances: cash 15000 and bank 40000
During the month, the following transactions took place.
Jan: 2 Maritim, a debtor fully settled his account of sh 10000 by cheque of shs 8000
5 Deposited sh 4000 into the business bank account from the cash till

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

9 Paid wages by cash sh 5000

14 sold goods in cash sh 14000

17 purchased office equipment worth shs 3000 paying by cheque
18 settled Korirs account sh 10000 by cash after being allowed a discount of 5%
21 received sh 6000 cash from Kolongei a debtor
23 Tangus, a debtor settled his sh 4000 account by cheque having been allowed a discount of 20%
27 Deposited shs 17000 in the business bank account from private sources
30 Banked all the cash in the till except sh 1000

Prepare a three-column cash book duly balanced (10 marks)

b) Explain five ways of making face to face communication effective (10 marks)

6 (a) Explain five negative implications of a youthful population (10marks)

b) The following trial balance was prepared by Afya Bora Chemist on 31 st December 2020
Particulars DR sh CR sh
Premises 850000
Debtors 650500
Creditors 820000
Motor vehicle 800000
Equipment 550500
Gross profit 1960200
Furniture 350000
Stock 75000
Bank 200000
Cash in hand 150000
General expenses 117800
Discount received 66100
Commission allowed 12400
Insurance 7500
Lighting 4600
Salaries 78000
Capital 1000000

3846000 3846000

Using the information given above prepare:

i) A profit and Loss account (4 ½ marks)
ii) A balance sheet (5 ½ marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 8
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

Instructions to candidates
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 25 questions.
d) Answer all the questions in this paper.
e) All your answer must be written in the spaces provided in the question paper
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.

FOR EXAMINER’S USE ONLY

Question 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Candidate’s
score

21 22 23 24 25 TOTAL
MARKS

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. State the level of production that matches the following occupations. (4marks)
Occupation Level of production
a) Carpentry .................................................
b) Lumbering .................................................
c) Bridge construction .................................................
d) Banking .................................................
2. State four reasons that may make a firm to be located near a source of raw materials. (4marks)
3. Outline four channels used to distribute locally manufactured products in Kenya. (4 marks)
4. Give four types of small-scale retailers with shops (4marks)
5. State four external factors that may influence the operations of a business negatively. (4marks)
6. State four circumstances under which the capital of a business may change. (4marks)
7. List down factors that a trader may consider when choosing a means of transport. (4marks)
8. State four factors that may lead to the success of a business. (4marks)
9. Highlight four advantages of promoting sales through the internet. (4marks)
10. Indicate the document to be used for each of the following descriptions. (4marks)
Description Document
a) Reply to a specific letter of inquiry ________________________
b) To update a catalogue ________________________
c) To show the content of container ________________________
d) To correct an overcharge in the invoice ________________________

11. The information below relates to Kimeu’s business as at 31st JULY/AUG 2023.
Kshs
Capital 100,000
Additional investment in the year 40,000
Profit realised in the year 25,000
Drawings made in the year 45,000
Determine Kimeu’s capital as at 31 JULY/AUG 2023.
st (4 marks)
12. Highlight four forms of economic integration. (4marks)
13. Highlight four reasons for consumer’s protection. (4marks)
14. Outline four factors that would make John and Ann taking the same type of life assurance
policy with the same insurer to pay different amount of premiums. (4marks)
15. The information below was extracted from the books of Wapendwa Traders on 31 st
JULY/AUG 2024
Details Amount
Furniture and fittings 234,000
Debtors 67,500
Capital 157,900
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Commission earned 13,200

Creditors 34,750
Drawings 21,800
5 years bank loan 114,450
Discount received 3,000
Required; Prepare Wapendwa Traders trial balance as at 31st JULY/AUG 2024. (5marks)
16. Identify the ledger in which the following accounts are maintained. (4marks)
Account Ledger
a) Pendo (Debtor) ______________________________
b) Machinery ______________________________
c) Rent ______________________________
d) Capital ______________________________
17. Indicate the source document that relates to the following books of original entry.(3 marks)
Books of original entry Source document
a) Purchase return journal .......................................................
b) Cash book ........................................................
c) Sales return journal ........................................................
18. Identify the type of unemployment described by the statements below. (4marks)
a) Introduction of tea picking machines to replace human labour __________________________
b) Ignorance of existing opportunities ____________________________
c) Decline in economic activities of a given country_____________________________________
d) Five employees handling a single task in an organisation.______________________________
19. The diagram below shows supply of a certain commodity. Give four reasons that may cause
such a shift (4 marks)

S1 So

Prices

S1 SO

Quantity

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

20. Outline four tools of monetary policy that a government may use to reduce excess money
supply (4marks)
21. State whether the following transactions will increase, decrease or have no effect on the
balance sheet items. (4marks)
Transaction Assets Capital Liabilities

a) Took a loon from K.C.B and used it to

pay a K.I.E loan.
b) Bought furniture and paid by cheque

c) Took stock of goods and donated to a

local church
d) Sold stock of goods on credit at a profit.

22. The following information was provided from the Mzalendo Traders books for the period
ending 31st JULY/AUG 2023.
Commission received 20,000
Gross loss 50,000
Rent paid 30,000
Discount received 35,000
Carriage outward 10,000
Interest on loans 5,000
Required: Prepare profit and loss account for the period ending 31 st JULY/AUG 2023. (4 marks)
23. State four assumptions in the circular flow of national income in a two-sector economy.
(4marks)
24. Highlight four characteristics of underdeveloped countries. (4marks)
25. Outline four levels of inflation. (4marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 8
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS TO CANDIDATES
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 6 questions.
d) Answer any five questions in the spaces provided.
e) All questions carry equal marks
f) Candidates must answer the questions in English.
-------------------------------------------------------------------------------
For Examiner’s Use Only
Question Maximum score Candidate’s score
20
20
20
20
20
TOTAL

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. (a) Highlight five ways in which Kenyan government can provide an enabling environment to
the local traders. (10 marks)
(b) Explain five problems encountered in calculating national income using the output approach
(10 marks)

2. (a) Explain five challenges that may be experienced by a new entrepreneur who has just
established a business in Kenya. (10 marks)
(b) Kigal Traders had the following balances as at 30th April 2023
Sh.
Sales 240,000
Purchases 90,000
Stock (30th April 2023) 70,000
7 years bank loan 100,000
General Expenses 12,000
Interest on loan 25000
Debtors 25,000
Cash at bank 20,000
Creditors 75,000
Cash at hand 10,000
Premises 95,000
Stock (2nd April 2023) 160,000

Calculate:

i) Mark-up (3 marks)
ii) Margin (2 marks)
iii) Rate of stock turn-over (2 marks)
iv) Current ratio (2 marks)
v) Net profit. (1 marks)

3. (a) Explain five purposes of public finance in an economy. (10 marks)

(b) Highlight five circumstances that allow the existence of a monopoly in an economy.
(10 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

4. (a) Other than monetary policies, explain five ways of controlling demand-pull inflation.
(10 marks)
(b) Explain five features of sole proprietorship form of business. (10 marks)

5. (a) Outline five benefits that accrue to an organization that uses electronic filing. (10 mrks)
(b) The following are transactions of Epic traders for the month of June 2005.
June 1: Purchased stock for sh. 84,000 in cash and was given 2% cash discount.
June 2: Paid workers’ wages by cheque shs. 21,750
June 3: Sold goods worth sh. 240,000 and received cash after allowing 4% cash discount.
June 7: Received sh. 400,000 by cheque from a debtor after 2% cash discount was allowed.
June 10: Took sh. 80,000 to bank from the business.
June 13: Took stock of goods worth sh. 2000 from the business for personal use.
June 18: Paid sh. 2000 cash as part of water bill leaving a balance of sh. 1750 to be settled at a later
date.
June 24: Received a cheque from John a debtor worth sh. 60,000 in settlement of his debt of sh.
66000.
June 28: All the cash at bank was taken to the business for office use except sh. 250,000.

Required: Enter the above transactions in a duly balanced two-column cash book. (10 marks)

6. (a) Explain five principles of insurance. (10 marks)

(b) Highlight five factors that may lead to a surplus in the balance of payment. (10 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 9
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS
a) Write your name and admission number in the spaces provided above.
b) Sign and write the date of examination in the spaces provided above.
c) Answer all the questions.
d) All answers should be written in the spaces provided in this booklet.
e) Candidates should answer all the questions in English.

For Examiner’s Use Only

Question 1 2 3 4 5 6 7 8 9 10 11 12 13

Marks

Question 14 15 16 17 18 19 20 21 22 23 24 25
marks

Total marks

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. Name four skills that a student acquires by learning business studies. (4marks)
2. Highlight four possible contents of a business plan. (4marks)
3. Outline four benefits of the improved road network in Kenya. (4marks)
4. Nacada began a business on 1st Jan 2023. With capital of sh 650,00 which he deposited in the
business bank account. During the year the following transaction took place
i) Brought into the business equipment valued at sh. 50,000
ii) Made a profit of sh. 120,000
iii) Withdrew sh, 80,000 from the business bank account to pay for his son’s university fee.
Determine Nacada final capital
5. State four incentive that a government may give investors to locate their firms in rural area
(4marks)
6. The gap in incomes between the rich and the poor is so wide in Kenya. Highlight four factors
that have contributed to this. (4marks)
7. Outline four features of a sole proprietorship form of business unit. (4marks)
8. Give four advantages of using M-pesa as a means of payment. (4marks)
9. Outline four circumstances under which downwards communication may be used. (4marks)
10. Mention the principle of insurance involved in the following statement. (4marks)
a) One cannot insure the neighbor’s house
b) Compensation is paid out by an insurance company only if the loss is as a direct result of
happening of the event insured against
c) After having been compensated the insured is not allowed to take the scrap
d) The aim of the insurance company is to put back the insured to his original material financial
position and not to profit him
11. For each of the following daybooks, State the relevant source document
a) Sales journal……………………………………………………………………………
b) Cash receipt journal……………………………………………………………………
c) Purchases return journal………………………………………………………………
d) Sales return journal……………………………………………………………………
12. On 1.5.2015 Kui traders bought 240 carton of battery at ksh.1000 each . Terms of sale were
20%trader discount and cash discount if payment was made on 29.4.2015
Calculate the amount paid if payment was done on 26.4.2015 (4 marks)
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

13. Hadjia has an intention of starting a business in the local market. The demand and supply is
represented in the diagram below

State four consequences of selling the cabbages at p2 (4marks)

14.Outline four circumstances under which a trade would advertise his products over the radio
instead of television (4marks)
14. Outline four ways in which the physical environment may lead business failure (4marks)
16.Give four types of errors that are not disclosed in a trial balance. (4marks)
17. Highlight four reasons for dishonoring a properly drawn cheque (4marks)
18. In each of the following cases,state the type of inflation described. (4marks)
a) The unrest in Ukraine has resulted to an increase in the price of fertilizers……………………….
b) The price of bread has gone up to sh.60 due increase in the price of fertilizers…………………
c) A lot of money in circulation has led to the general increase of price……………………………
d) Arise in price due to uneven growth in some sectors of the economy…….........................
19. The following information relates to average price of exports and imports in 2021 and 2022 of
country k
Year Average price of export Average price of imports
2021 100,000 400,000
2022 120,000 650,000
Required:
a) Calculate the terms of trade (3marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

b) Comment on the term of trade calculated above (1mark)

20. Rufus trader
Dr Three column cash book cr
Date Details Cash Bank D .All DATE Details f Cash Bank D.REC
22/1/01 Capital 20,000 22/1/01 Capital
22/1/08 Cash 10,000 2/1/08 Bank 10,000 1000
22/1/12 Drawings 2000
From the above cashbook state the transactions that took place on
a) 22.1.01 (2marks)
b) 22/1/08 (1mark)
c) 22/1/12 (1mark)
21. Outline four problems that the Kenyan government may experience in implementing her vision
2030 (4marks)
22. State four types of business activities in central Kenya (4marks)
23. Outline the significance of the following international terms of sale. (4marks)
i) Ex-works
ii) Free on rail
iii) Free on board
iv) Cost and freight
24.State four types of direct taxes (4marks)
25. The following transactions took place in the business of Kua traders during the first week of
March 2024.
March 2 issued an invoice no. 840 to Karen sh.80,000
March 3: Received an invoice no 940 from Mugera Traders sh 50,000 (4marks)
Record the above information in the relevant ledger accounts.

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 9
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS TO CANDIDATES
a) Write your name, and Index number in the spaces provided above
b) Sign and write the date of examination in the spaces provided above
c) This paper consists of Six questions.
d) Answer any five questions in the spaces provided after questions 6.
e) All questions carry equal marks
f) Candidates should answer the questions in English.

For Examiner’s Use only

Question Maximum Score Candidates Score
20
20
20
20
20
TOTAL SCORE

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. a) Describe the procedure of making an insurance claim. (10marks)

b) Outline five factors to consider when selecting means of reproducing documents.
(10marks

2 .a) Explain five disadvantages that a developing country may suffer by liberalizing foreign
trade (10marks)
b) Explain five factors that may hinder economic development in Kenya. (10marks)

3. a) Explain four resources found in a business enterprise. (8marks)

b) Mworia limited operates a whole sale business. During the month of March 2023, the
company carried out the following transactions;
March 1 Credit sales to Mwikali and Njeri were shs. 200,000 and shs.180, 000 respectively.
March 2 Credit purchases from chebet shs.150, 000 wanbui shs, 700,000, Alfred shs.185,000.
They also paid advertisement expenses by cash sh.48, 000.
March 5 Credit sales to Abdallah shs.175, 000,Mwangi shs.320,000 and Mwikali shs.135,000
March 8 Goods returned by Mwikali shs. 2, 800 and Njeri shs. 3,100
March 12 Goods returned by Mworia Limited to Chebet shs. 30,000 and Alfred shs.25, 000
March 27 Paid Wambui her debt in cash after deducting a cash discount of 5%
March 28 Receive rent of shs.5, 200
March 29 Sold goods on credit to Njeri shs. 220,000 and Phiniah shs.150, 000
March 30 Goods returned by Phiniah shs.2, 300

Required:
From the information given, prepare
a) Sales journal
ii) Sales returns journal (12marks)

4. a) Explain five forms of economic integration. (10marks)

b) Describe five channels of distribution that Hannan manufacturer’s ltd can use to distribute their
products in Kenya

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

5.a) The following transactions were extracted from the books of Memsi Traders on 1 st January
2023
shs
Capital 600,000
Creditor 180,000
Motor van 200,000
Furniture 200,000
Stock 60,000
Debtors 80,000
Cash 240,000
The following transactions took place during the year ended 31 st January 2023
i.Sold furniture worth sh. 60,000 for which sh.40,000 Cash was received and the balance was due
at the end of the month.
ii. Purchased goods worth sh.100,000 for which cash of shs.70,000 was paid and the balance was
still outstanding at the end of the month
iii. Cash of shs. 10,000 was taken from the business by the proprietor for personal use

Required: Prepare Memsi’s balance sheet as at 31st January 2023 (10marks)

b) Distinguish between perfect competition market structure and oligopolistic market structure.
(10marks)

6. a) In the recent past celebrities and other social influencers have been instrumental in promoting
products over the TIK TOK social media platform. Explain five benefit that business enterprise
may enjoy by using social media platform in sales promotion. (10marks)
b) Explain five purposes of public finance. (10marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 10
565/1

BUSINESS STUDIES
PAPER 1
TIME: 2 HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

INSTRUCTIONS TO CANDIDATES
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 25 questions.
d) Answer all the questions in this paper.
e) All your answer must be written in the spaces provided in the question paper
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.

For Examiner’s Use Only

Question 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
score

17 18 19 20 21 22 23 24 25 TOTAL
MARK

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. Identify the type of production activity associated with each of the following utilities. (4 marks)
UTILITY PRODUCTION ACTIVITY
a) Time
b) Place
c) Form
d) Possession

2. Highlight four circumstances under which a firm would prefer open office layout. (4 marks)
3. Outline four limitations of Barter trade. (4 marks)
4. State four negative effects of over population in a nation. (4 marks)
5. State four factors that influence entrepreneurial practices in Kenya. (4 marks)
6. Highlight four factors which may render face to face communication ineffective. (4 marks)
7. State four features of a supermarket. (4 marks)
8. Outline four features of private limited company. (4 marks)
9. State four factors that insurance companies consider before determining premiums to be paid.
(4 marks)
10. Indicate the effect of the following transactions on the capital of a business. Use increase,
decrease or no effect. (4 marks)
Transactions Effects
a) Owner took cash from the business for personal use.
b) Payment of business expenses in cash.
c) Owner deposited additional cash from personal saving.
d) The business made loss from trading.

11. Omamo a trader had the following assets and liabilities on 1 st February 2024.
Capital 120,000
Machinery 80,000
Trade creditors 10,000
Trade debtors 20,000
Stock of goods 25,000
Cash at hand 5,000
On 2nd February, the following transactions took place:
Purchased goods on credit for Sh. 15,000
For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Received a cheque Sh. 10,000 from a debtor

Sold the machinery for Sh. 90,000 in cash
Required: Prepare Omamo’s balance sheet as at 2nd February 2024. (4 marks)
12. State four uses of a cashbook. (4 marks)
13. Highlight four roles played by intermediaries to a producer in the chain of distribution. (4 mks)
14. Name four means of land transport. (4 marks)
15. Highlight four circumstances under which the government may issue licenses to Businesses.
(4 marks)
16. Study the diagram below and answer the questions that follows:

D S

Price P0

P1
D
S

Q0 Q1

Quantity

State four effects of fixing the price at P1 (4 marks)

17. Highlight four consequences of poor arrangement of goods in warehouses. (4 marks)
18. Highlight four features of a perfect competition market. (4 marks)
19. Identify the book of original entry in which the following transactions can be recorded.
(4 marks)
Transaction Book of original entry

a) Paid salaries by cheque

b) Returned goods to a supplier
c) Sold goods on credit
d) Bought delivery van on credit

20. State four uses of national income statistics. (4 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

21. Open the relevant ledger accounts using the following information: (4 marks)
2011 Feb 1: Started business with Sh. 10,000 in cash and 50,000 at bank.
” Feb 2: Withdrew sh. 2,000 from bank for office use.
Date Details Folio Amount Date Details Folio Amount

Date Details Folio Amount Date Details Folio Amount

Date Details Folio Amount Date Details Folio Amount

22. State four factors that influence what goods and services a firm should produce. (4 marks)
23. The following information relates to Kasuku traders for the year 2022.
Turnover 270,000
Margin 40%
Rate of stock turnover 6 times
Expenses 40,000
From the information above, calculate:
a) Gross profit. (1 mark)
b) Cost of goods sold. (1 mark)
c) Net profit. (1 mark)
d) Average stock. (1 mark)
24. Outline four reasons why people start businesses. (4 marks)
25. State the type of human want one would satisfy in each of the following: (4 marks)
a) A tourist going to Maasai Mara National park ………………………………………
b) Cooking food for school children ………………………………………
c) Playing football. ………………………………………
d) Weaving clothes. ……………………………………….

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KCSE 2024 FINAL PREDICTION

EXPECTED EXAM 10
565/2

BUSINESS STUDIES
PAPER 2
TIME: 2½ HOURS

NAME……………………………………………………………………………………….

SCHOOL……………………………………………… SIGN………………………..

INDEX NO……………………………………………. ADM NO……………………

(Kenya Certificate of Secondary Education)

Instructions to candidates
a) Write your name and index number in the spaces provided above.
b) Sign and write the date of the examination in the spaces provided above.
c) This paper consists of 6 questions.
d) Answer any five questions in the spaces provided.
e) All questions carry equal marks
f) Non –programmable silent electronic calculator may be used.
g) Candidates must answer the questions in English.
-------------------------------------------------------------------------------
For Examiner’s Use Only
Question Maximum score Candidate’s score
20
20
20
20
20
TOTAL

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

1. (a) Explain five sources of business ideas. (10 marks)

(b) Outline five circumstances under which a high population growth may be desirable to a country.
(10 marks)

2. (a) Highlight five benefits that are likely to accrue to a firm due to its own expansion.
(10 marks)
(b) Explain five documents required for the formation of a limited liability company. (10 marks

3. (a) Explain five insurance policies that an investor will find useful for the operation of a
supermarket. (10 marks)
(b) Explain five ways in which division of labour enhances performance of a business.(10 marks)

4. (a) Explain five characteristics of land as a factor of production. (10 marks)

(b) Highlight five factors to consider when choosing a distribution channel. (10 marks)

5. (a) Explain five factors that determine amount of money held for precautionary motive.
(10 marks)
(b) The following information relates to Chenka Enterprises for the period ended 30 th April 2018.
Gross profit 800,000
Buildings 1,600,000
Debtors 200,000
5 year loan 1,000,000
Creditors 400,000
Stock 650,000
Bank 250,000
Cash 100,000
Discount received 10,000
Carriage outwards 150,000
Electricity 50,000
Interest on loan 40,000
Rent income 20,000
Commission received 10,000

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

Required:
i) Prepare a profit and loss account for the period ended 30 th April 2018. (5 marks)
ii) Calculate return on capital employed. (3 marks)
iii) Determine capital owned. (2 marks)

6. (a) Highlight five problems associated with road transport in Kenya. (10 marks)
(b) On 1st September 2020, Sefa traders had Shs. 55,000 in hand and Shs. 250,000 at bank. During
the month the following transactions took place:
September 2 Cash sales directly banked sh 35,260.

3 Bought stationery in cash sh 4,500.

7 Paid Lucy, a creditor sh 94,000 by cheque in full settlement of

his account after deducting 6% cash discount.

15 Paid electricity Sh 34,000 in cash.

20 Withdrew sh 50,000 from bank for office use.

25 Lupita, a debtor paid her account of sh 75,000 by cheque less

10% cash discount.

28 Deposited all the cash into bank leaving no balance.

Required: Prepare a three column cash book and balance it off. (10 marks)

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

To Obtain Copies of Respective Marking

Schemes / Answers

CALL/TEXT/WHATSAPP

0746-222-000

0742-999-000

[email protected]

[email protected]

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

This is a Copyright Property of Mwalimu Consultancy Ltd.

Powered By Mr Isaboke

SUCCESS

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

CAUTION TO KCSE 2024 CANDIDATES:

IN CASE / ON EVENT YOU REALIZE PART OF THESE
QUESTIONS WERE DIRECTLY OR INDIRECTLY LIFTED TO
THE FINAL KCSE 2024 EXAMINATIONS … PLEASE DO NOT
PANIC!

For Marking Schemes Contact 0746 222 000 / 0742 999 000
KCSE 2024 FINAL PREDICTIONS MWALIMU CONSULTANCY
i.

KILA LA HERI

For Marking Schemes Contact 0746 222 000 / 0742 999 000