Form Two Zonal Pre Mock Exam 2024

Form Two Pre-Mock Exam Mbeya City 2026 With Marking Schemes

Form Two Pre-Mock Exam Mbeya City 2026 With Marking Schemes

Download Form Two Pre-Mock Exam 2026 – Mbeya City with marking schemes for free.

The Form Two Pre-Mock Examination 2026 prepared by the Mbeya City Academic Committee covers multiple subjects, most of which include marking schemes to support revision and self-assessment.


Subjects and Marking Schemes


BUSINESS STUDIES – SECTION C (45 Marks)

Answer all questions in this section


Question 7

Stages in the Formation of a Sole Proprietorship

No. Stage Explanation
1 Idea generation Identifying a viable business idea
2 Market research Studying demand, customers, and competition
3 Business planning Preparing a simple business plan
4 Source of capital Finding funds (savings, loans, etc.)
5 Legal registration Registering the business with authorities
6 Starting operations Opening and running the business

Question 8

Loans – Advantages and Disadvantages (Example: Access Bank)

Advantages

No. Advantage Explanation
1 Availability of large capital Loans can provide enough funds to expand a business
2 Business growth Helps increase production and profits
3 Ownership retained The owner does not lose control of the business

Disadvantages

No. Disadvantage Explanation
1 Interest charges Loans must be repaid with extra cost
2 Risk of losing assets Collateral may be seized if the loan is not repaid
3 Financial pressure Regular repayments may strain the business

Question 9

Importance of Production to the Economy

No. Importance Explanation
1 Job creation Production activities create employment opportunities
2 Economic growth Increases national income and GDP
3 Provision of goods and services Satisfies people’s needs and wants
4 Government revenue Generates taxes for development
5 Improvement of living standards Increases income and access to goods

Related: Form Two Pre-Mock Exam 2026 & Mbinga DC (Ruvuma)