Paper 3

Nov 2020

3 hours



Uganda Advanced Certificate of Education







  • The paper consists of three sections A, B and C.
  • Answer any four questions only.
  • All questions carry equal marks.
  • Section A is compulsory. Answer any three questions from section B

    and C.

  • Credit will be given for use of relevant diagrams and illustrations.
  • Any additional question(s) answered will not be marked.



Answer all parts of this questions.


  1. Read the case study below and answer the questions that follow.


Menemapat is a prominent entrepreneur in Gayaza town. His desire to become an entrepreneur started when he was in his ordinary level, when he was introduced to entrepreneurship Education.


After studying entrepreneurship Education at ‘O’ and ‘A’ levels, he joined Kyambogo University and pursued a Bachelor’s degree in small scale business management. He gathered a lot of knowledge and courage to be independent after his studies.


After completion of his studies at university, he quickly mobilized capital from, his personal sources, his parents and well-wishers and he started a poultry farm. He concentrated all his effort, knowledge and skills on his project.


His business currently employs over 50 people and registers annual sales of more than Ug. shs 360m.


He uses various tools to monitor the performance standards of his business which has made him identify weaknesses and solve them early enough before affecting the business.


Mene has a big dream for his business, he plans to make it a model poultry farm in Uganda. However, some times he is challenged with failure to manage time properly due to limited knowledge about time management.


The business stock such as poultry feeds, medicines, eggs etc. are properly kept to avoid stock loss. In order to ensure this, strong rooms were constructed and employed store managers who are fully accountable for the items in the store. All tools of stores and inventory management are employed in the business to ensure efficiency.


Mene’s business expands day by day and hopefully his dream will be realized, God willing.



a) What type of business is Mene’s business?                    (2 marks)


b) i) With evidence, explain the tools of monitoring business operations used by the business.                                        (6 marks)

ii) Why does the entrepreneur emphasize the issue of business monitoring?                                                (4 marks)

c) Advice the entrepreneur on the ways of managing time effectively.

                                                (8 marks)

d) Why is it necessary for Mene to manage inventory in his business?

                                                (5 marks)



Attempt at least one question from this section.


2. Basing on the school Entrepreneurship Club project in which you participated a s a member;

a) Describe the project.                                (5 marks)


b) Which factors dis you consider when selecting a supplier of inputs for the project?                                            (6 marks)

c) How did the executive committee motivate the members of the project?    

                                                (8 marks)

d) What were the indicators of good customer relations in the project?

                                                (6 marks)



3. With reference to the project you operated in your school business club;

a) Give the general description of the project.                    (5 marks)


b) Why was there need for quality control in your project?        (6 marks)


c) Explain the factors that you considered when determining prices for the products by your project.                                (8 marks)


d) Explain the factors you considered when evaluating the business ideas to select the one you operated.                                (6 marks)





Attempt at least one question form this section.


4. With reference to any business you were attached to;

a) i) Describe he nature of the business.                    (3 marks)

ii) Describe the plant layout of the business.                    (3 marks)


b) Explain the measures undertaken to promote good employer-employee relations.                                            (5 marks)


d) Advice the entrepreneur on;

i) The aspects to consider when evaluating business competition.    (6 marks)

ii) Benefits of observing business ethics towards the various parties. (4 marks)


5. Basing on any one field trip you carried out as an individual or group;

a) Give the profile of the business.                        (4 marks)


b) State the rationale for carrying out the field trip.                (4 marks)


c) Explain the various laws observed by the business.            (6 marks)


d) i) Explain any 6 production challenges faced by the business.    (6 marks)

ii) How has the business managed to overcome the challenges mentioned in (e) (i) above.                                            (5 marks)



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