Entre Pi S

KIKAAYA COLLEGE SCHOOL END OF TERM I EXAM 2008 S.6 P230/1 ENTREPRENEURSHIP EDUCATION TIME: 3 HOURS Instructions Answer all questions 1. You are planning to start a sugar processing plant. (a) How would your project benefit the society? (b) Explain the effect of the project on the natural environment. (c) Suggest the measures to reduce the negative effects of your project on the environment (d) Mention the different organizations put in place to protect the environment. (e) the measures to reduce the negative effects of your project on the environment (f) Mention the different organizations put in place to protect the environment. 2. You intend to secure a loan from Centenary bank to initiate a legal form of business where you are independent in decision making. (a) What factors do you consider when choosing a legal from of business? (b) Suggest other sources of business finding you can use other than loans from banks. (c) What are the demerits of loans as a source of business finding? (d) Give the advantages and disadvantages associated with the above legal form of business 3. You are planning to start a milk processing plant in your home area. (a) Describe the measures you would put in place to promote the welfare of your employees.

(b) How would you promote good customer relations in your project? (c) How will you control hazardous substances in tour project? (d) Explain the measures you will undertake to lower the costs of production in your project. 4. (a) Explain the factors that determine the choice of suppliers for business requirements. (b) State and explain the different documents used when purchasing goods for an enterprise (c)What should an entrepreneur do when receiving good or services purchased. (d) Explain the tools used in inventory management.

END