INSTRUCTIONS TO CANDIDATE
i. Time allocated TWO (2) hours.
ii. This paper has TWO sections A and B.
iii. Marks for each question are indicated in the brackets.
This paper consists of FOUR (4) printed pages.
SECTION A: (10 MARKS)
In this section, each question carries one (1) mark. Answer all questions in this section. Choose the correct answer and write it in the answer booklet provided.
1. The terms below defines an entrepreneur, which one does not? (1 mark)
A. Innovator
B. Resource mobiliser
C. Organization building
D. Risk averse
2. State the aim of entrepreneurship? (1 mark)
A. Earn a profit
B. Solve customers’ needs innovatively
C. Spread economic growth
D. Create employment
3. Which of the following are the roles and benefits of entrepreneurship? (1 mark)
A. Social development
B. Improved standard of living
C. Optimal use of resources
D. All of the above
4. The following relate to starting a business, except? (1 mark)
A. Trade services
B. Getting money and material
C. Business idea
D. Understanding customer needs
5. Among the following, which is the odd one out? (1 mark?)
A. Partnership
B. Sole Proprietorship
C. Joint Stock Company
D. Amalgamation
6. Which of the following is NOT a characteristic of an entrepreneur? (1 mark)
A. Creative activity
B. Risk bearing activity
C. Purposeful activity
D. Procrastinating
7. The process of improving the skills and knowledge of entrepreneurs through various training and classroom programs is known as? (1 mark)
A. Planning
B. Organizing
C. Entrepreneurship development
D. Coordinating
8._____________ is the term given to money used to start a business. (1 mark)
A. Business money
B. Capital
C. Start Ups
D. Debt capital
9. Identify the role played by the society in boosting entrepreneurship. (1 mark)
A. Providing raw materials
B. Creating needs and demands
C. Consuming business products
D. Importing goods and services
10. Which of the following are commercial functions of Entrepreneur? (1 mark)
A. Finance and Accounting
B. Leadership
C. Innovation
D. Networking
SECTION B: (40 MARKS)
Attempt all questions in this section.
11. Define the term Enterprise as used in entrepreneurship. (2 marks)
12. List Three considerations that an entrepreneur should make when evaluating the viability of a business opportunity. (3 Marks)
13. Mwikali owns a hotel in Machakos town. Her friend is employed at the county commissioner office as the secretary. Four differences that the two have in their different type’s employment. (4marks)
14. Highlight Four challenges that may be associated with a partnership form of business. (4 marks)
15. List Five contribution of an entrepreneur to the national development. (5 marks)
16. Name Three types of entrepreneurs. (3 marks)
17. Mention Four sources that can be used in the generation of a business idea. (4 marks)
18. Rose is potential entrepreneur and intend to start a cereals business. State Three factors that Irene should consider before starting the business. (3 marks)
19. Highlight Four qualities of a good manager. (4 marks)
20. Identify Four types of business records. (4 marks)
21. Give Four benefits of ICT to a business enterprise. (4 marks)