(Two hours)


Answers to this Paper must be written on the paper provided separately. You will not be allowed to write during the.first 15 minutes.

This time is to be spent in reading the question paper. The time given at the head of this Paper is the time allowed for writing the answers.

Attempt all questions from Section A and any four questions frorn Section B. The intended marks for questions or parts of questions are given in brackets [ ].


SECTION A (40 Marks)

 Attempt all questions


Question 1.

Distinguish between:

(a)   Capital Receipts and Revenue Receipts.

(b)   Direct Costs and Indirect Costs.

(c)    Shareholders and Customers.

(d)   Budgeting and Forecasting.

(e)    A Trading Account and a Profit and Loss Account.                        [10]


Question 2.

(a)   What is meant by formal communication.

(b)   Name four important methods used for training.

(c)    State any two methods of Marketing Research.

(d)   What are Liquid Assets ?

(e)    Give two aims of The Consumer Protection Act 1986.          [10]

Question 3.

(a) What is meant by Non-Insurable Risk ? Give one example.                                                                         [10]
(b) State any two general utility functions of Commercial Banks.
(c) State any two characteristics of a service.
(d) Give two points of difference between Public and Private Warehouses.
(e) State any two expectations of the general public from a business organisation.

Question 4.
(a) state any two features of a Bearer Cheque.                                                                                                      [10]
(b) What is meant by the term Capital Expenditure?
List two features of a Non-trading Organisation.
(d) State two methods or techniques of-Sales Promotion.
(e) State two advantages of a Campus Interview as a source of recruitment

SECTION II (40 Marks)
Attempt any four questions from this Section

Question 5.

(a) State any five advantages of Road Transport over Water Transport.                                                          [5]
(b) Give any five expectations of employees from a business enterprise.                                                           [5]

Question 6.

(a) Explain any two functions of the Central Bank of a country.                                                                        [5]
(b) Briefly explain any five principles of an Insurance Contract.                                                                         [5]

Question 7.

(a) Explain any five qualities of a successful salesman.                                                                                        [5]
(b) Briefly explain the following:                                                                                                                                 [5]

  • (1) Role of Trade Unions in the welfare of workers.
  • (2) Outdoor Advertising.

Question 8.

(a) Explain the elements in the process of communication.                                                                                  [5]
(b) Marketing is essential for the success of a business organisation.
Give four reasons to support your answer.                                                                                                                [5]

Question 9.

(a) state the various stages of the Selection Process of workers in an organisation.                                         [5]
(b) Suggest any five ways Society benefits from Advertising.                                                                               [5]

Question 10.

Prepare a Trading, Profit and Loss A/c and balance sheet of M/s. Sultan Enterprises for the year ended 31 March, 2010 from the following Trial Balance.  [10]

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