SUBJECT: BUSINESS STUDIES

Class: Form three ……………….. Group…………

Duration: One week (from 22-09-2018 to 29-09-2018)

marks

Group assignment
N Roll number
O
1
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3
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6
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9
10

INSTRUCTIONS TO CANDIDATES

Instructions to the candidate (please read carefully)

This paper consist of 4 Pages, count now, if there is missing please inform to the teacher

 Answer ALL question

 Write your working on the space provided below the question

 No allowed extra paper

 If you write wrong answer please delete and write right the answer clearly

 This paper consist of two parts

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Part 1: Multiple choice Questions: Circle the correct answer

1. All of the following are factors of internal business environment, except

A. human resources
B. inflation
C. raw materials
D. finance

2. Ali has a small amount of money to buy either books or mathematical set. He bought the books, the forgone cost of
buying the mathematical set, is known as?
A. Overhead cost
B. Opportunity cost
C. Variable cost
D. Fixed cost
3. Choices have to be made because there are insufficient _____________________ to produce all the things which people
_______________________
A. Resources, goal
B. Objectives, need
C. Resources, want
D. Inputs, produce
4. An activity that involves the production, provision and sale of goods and services with the aim of making profit is called::
a) Entrepreneurship
b) Private Limited Company
c) Manufacturing industry
d) Business

5. Factors of production are

A. Entrepreneur ship, management, buildings and workers
B. Entrepreneurship, machines, labor and land
C. Land, management, capital and entrepreneurship
D. Land, labor, capital and entrepreneurship
6. The main reason why people start business is
A. To make profit
B. To have more entertainment time
C. To become famous
D. To become boss

7. Human needs are broadly classified into:

a. Basic needs and primary needs
b. Basic needs and security
c. Basic needs and secondary needs
d. Secondary needs and medical needs
8.Circle the correct statement:
a. Human needs are unlimited but resources are also unlimited
b. Human needs are unlimited but resources are limited
c. Human needs are limited but also resources are limited

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 d. Human needs are limited but resources are unlimited

9. Meaning of business studies is known as the process of:

a. Identifying a business opportunity

b. Acquiring such knowledge, skills and positive attitudes.
c. Producing farm products
d. None of the above
10. The three basic parts of human wants are:

a. Food, shelter and clothing

b. Car, food and medicine
c. Medicine, entertainment and shelter
d. Clothing, car and education

Part 2: STRUCTURAL QUESTIONS (answer all questions in space provided)

1. Define the word “business”?

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2. What is the difference between wants and needs?
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3. An engineering company is opening a new factory in Burtinle.

i) Give one advantage that the new factory might bring to the
town. ....................................................................................................................................
ii) Give one possible disadvantage that the new factory might bring to the town.
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4.List any three benefits the business studies give to a learner.

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5. Give four ways in which a business unit may increase its profit

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6. What is an opportunity cost, give one examples of opportunity costs?

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7. Define sole proprietorship business organization?

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8. Highlight at least four advantages of sole proprietorship?

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9. Give two reasons why human wants are unlimited?

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10. One of the most disadvantages in sole proprietorship is unlimited liability. Explain the word unlimited liability?

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11. Define the poverty? Mention it’s types? And list at least 10 problems of poverty in your country?

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Prepared by: Abdullaahi Ali Abdullaahi (Haadi)

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