Explanation

(a)Reasons why many small scale businesses turn into private limited liability companies are:

(I) Capital: It is possible to raise capital for a limited company than a sole proprietor.

(ii) Limited liability: The liability of the company will be limited to the amount invested.

(iii) Legal entity: The company is distinct from its owners. It can sue and be sued.

(iv) Ability to raise loan: The company has a greater ability to raise loan from the bank.

(v) There is no limit to expansion as a result of large capital.

(vi) The private company enjoys the advantage of large scale production.

(vii) Continuity: This type of business unit has an element of continuity because the death of a member may not bring the company to an end.

(b) Disadvantages of such decision are:

(i) Ownership of companies is separated from management.

(ii) Decisions are delayed because more people are involved in the company.

(iii)The company can not easily change the object of the business as stipulated in the Companies Act.

(iv) It is hard to establish a company and it involves a lot of formalities which cost a lot of money.

(v) The zeal, interest and enthusiasm found in the small business unit may be absent in companies.

Correct Answer: B. control grazing and ensure regeneration of pasture

Correct Answer: C. weird

Correct Answer: B. free market economy

Explanation

In a free-market economy, the concept of price ceiling and price floor come to play. In this kind of market situation, the government can introduce laws to ensure that prices do not rise or fall beyond a particular amount.

Correct Answer: C. punish

Correct Answer: D. Ethiopia

Explanation

(a)i. The size of the working population is;

= population of age group (19 - 40) + population of age group (41 - 60)

= 35% + 25% = 60%

= \(\frac{60}{100} \times \frac{200,000}{1}\) = 120,000

OR

35% of 200,000 = 70,000

25% of 200,000 = 50,000

70,000 + 50,000 = 120,000

(ii) The size of the dependent population = population of age group (0 - 18) + age group (61 and above)

= 30% + 10% = 40%

= \(\frac{40}{100} \times \frac{200,000}{1}\) = 80,000

OR

30% of 200,000 = 60,000

10% of 200, 000 = 20,000

60,000 + 20,000 = 80,000

(b) Percentage of population of age group (0 - 18) = 30%

\(\frac{30}{100} \times \frac{200,000}{1}\) = 60,000

\(\frac{2}{100} \times \frac{60,000}{1}\) = 1,200

Percentage population of age group (61 and above) = 10%

\(\frac{10}{100} \times \frac{200,000}{1}\) = 20,000

\(\frac{0.5}{100} \times \frac{20,000}{1}\) = 100

Natural increase in the population

= Births - Deaths

= 1,200 - 100 = 1,100

(c) The population is growing / a youthful one. This is because the population of the youth is more tha of the aged

Correct Answer: D. There have been

Correct Answer: D. √2

Correct Answer: A. Count Paris in praise of Juliet