Summary

• Description:

  The MS Word document comprises AIC CHAMPION JOINT Business Studies Paper 2 2026 Mock Exam with Answers (Marking Scheme). The PDF version is also available upon your request. The marking scheme is in a different document.

  It was a KCSE Business Studies 565/2 examination.

  This extended-response examination tests high-level mastery in financial accounting, economic market analysis, public finance, monetary policy, and commercial operations.

  • Month Administered: July 2026
  • Duration: 2 ½ Hours
  • Number of Questions: 6 (Questions 1–6)
  • Structure: 6 extended-response questions; candidates answer any five questions (20 marks each).

  It covers the following topics:

  • Transport economics: advantages of liners over tramp steamers in sea freight
  • Price theory: graphical effects of an outward shift in the supply curve on market equilibrium
  • Cooperative societies: problems facing SACCOs in Kenya
  • Financial accounting: preparation of a Trading, Profit and Loss Account and a Balance Sheet from a trial balance
  • Wholesale trade: circumstances favoring distribution of manufactured goods through wholesalers
  • Banking: statutory and economic functions of the Central Bank of Kenya (CBK)
  • Public finance: essential qualities and canons of an effective tax system
  • Production economics: circumstances justifying locating a firm near consumer markets
  • Financial ratio analysis: computation of gross margin, rate of stock turnover, return on capital employed (ROCE), and current ratio
  • Entrepreneurship: roles of an entrepreneur in production and factors promoting business success
  • Emerging commercial trends: reasons behind the rapid expansion of mobile banking services
• File Size:

  51.50 KB
• Category:

  Mock Past Papers
• Level:

  Form 4
• Subject:

  Business Studies
• Posted By:

  Caleb_Peter

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