SECTION A:(40 marks)

1. a) State any four roles of an entrepreneur in a business.

b)i) Define the term agribusiness.

ii) Mention any three types of agribusiness in your country.

c)i) state any two objectives of forming business associations in your country.

ii) Give any factors which determine the size of a business.

d) Mention any four factors which should be considered when selecting raw materials for a firm.

e)i) Define the term packaging.

ii) State any three advantages of packaging a product.

f) Outline any two: i) steps taken in the creative selling process.

ii) Elements of a marketing mix.

g) State any four different types of business laws used in your country.

h)i) Distinguish between a current account and a savings account.

ii) State any two errors that may affect the trial balance totals.

j)i) Define the term depreciation.

ii) The cost of a motor vehicle is ug. Shs2, 000,000. It is estimated to last for 10 years and leave a scrap value of ug.shs200, 000. Using the fixed installment method of computing depreciation, determine the value of the vehicle after three years.

SECTION B: (60marks)

2. a) Distinguish between a real market and a potential market.

b) Explain the factors which should be considered when conducting a market assessment.

3. a) State any four channels of distributing goods and services in your country.

b) Explain the conditions which should be considered when choosing a distributing channel for a product.

4. a) describe any four elements of a business plan.

b) What is the importance of a business plan?

5. a) Describe the principles of insurance.

b) Outline the different types of insurance policies offered in your country.

6. a) Differentiate between a private limited company and a public limited company.

b) Explain the advantages and disadvantages of a limited liability company.

7.a) What are the barriers to effective communication in business?

b) Describe the various methods of communication used in business.