(a)Marketing boards are producer organizations set up to encourage and control the

selling of agricultural products. Discuss five functions of these organizations.

(10mks)

(b)Discuss five differences between a bank statement and a bank pass book. (10mks)

(a) Despite major development in the transport sector. Many people are still using

carts (both those driven by animals and those pushed by human beings).

Discuss five reasons to show why this type of transport is still preferable to others.

(10mks)

Money evolved through severalstages to get to the currency notes and coins we

have today. However " Modern - day trade may compare negatively with barter

trade". Discuss this statement giving it your support. (10mks)

(a) A business enterprise should keep a budget other than the other statements it

keeps.Discuss reasons why this activity is important. (10mks)

You are the sales manager of 'speed' Industries Ltd. that manufactures tyres.

You are faced with the decision to choose an appropriate channel to distribute the

product.Discuss the factors you consider in your choice. (10mks)

(a)Mail order business is whereby customers place their orders through mailand goods

are also send through mail. This businessis however not popular in Kenya.

Discuss five reasons to encourage your colleagues to start this type of business. (10mks)

Discuss the factors that influence the choice of a filing system in an organization. (10mks)

(a) Briefly explain the following terms as used in Capital structure of a company.

Registered capital. (2 mks)

Called - up capital. (2 mks)

Issued capital. (2 mks)

Paid - up capital. (2 mks)

Specialization is the separation of jobs, activities and processes so that every individual concentrates on what they can do best. Name and explain four major such divisions.

(12mks)

(a) Discuss five benefits that the Kenyan government gets from Bonded Warehouses. (10mks)

Mwachai BINA's books disclose the following information for the period ended

31 Dec. 1996.

Opening Stock21000

Purchases40000

Closing Stock10000

Sales82000

Returns inwards2000

Motor Vehicle10000

Rent3000

Sales expenses18000

Discount received3000

Required:

Draw up Mwachai's trading profit and lossaccount for the period ended.(10mks)