Business Studies Grade 10 Notes

Business Studies Grade 10 Notes aligned with the Competency-Based Education (CBE) Curriculum. Download Grade 10 Business Studies Teaching Notes Term 1, 2, and 3

By the end of Senior School, the learner should be able to:
a) Demonstrate competencies in financial literacy to enhance the ability to interpret, analyse, manage, and communicate financial information for personal, entrepreneurial, and professional purposes.
b) Develop social skills, communication, and collaboration for harmonious coexistence in a business environment.
c) Acquire and use appropriate knowledge, skills, values, and attitudes necessary for business success.

Grade 10 Business Studies Senior School Lesson Notes .

STRAND 1.0: BUSINESS AND MONEY MANAGEMENT

1.1 Money

Key Security Features of the Kenyan Currency

Learners should identify modern security features such as:

Watermarks
Security thread
Raised print (tactile marks)
Holographic elements
See-through window
Colour-shifting ink
Micro-text

Functions of Money

Medium of exchange
Store of value
Unit of account
Standard of deferred payment

Demand for Money

Transactions motive
Precautionary motive
Speculative motive

Supply of Money

Controlled by the Central Bank of Kenya (CBK)
Includes notes, coins, and bank deposits

Ethical Practices in the Use of Money

Avoiding corruption and bribery
Truthful financial reporting
Responsible spending
Avoiding counterfeit currency

Learner Activity: The Security Check
Learners examine real/fake money samples and list observable features.

1.2 Business Goals

Importance of Goal Setting

Provides direction
Enhances motivation
Guides decision-making
Improves performance

Factors to Consider When Setting Goals

Available resources
Time
Competence/skills
Market conditions
Business values

Steps in Setting Business Goals

Identify priorities
Gather information
Draft goals
Implement
Monitor & review

SMART Goals

Specific, Measurable, Achievable, Realistic, Time-bound.

Short-term vs. Long-term Goals

Short-term: Less than a year
Long-term: Over a year

Learner Activity: Be the CEO
Students create a set of SMART goals for a school business.

1.3 Budgeting in Business

Importance of Budgeting

Controls expenses
Guides planning
Prevents overspending
Enhances accountability

Types of Budgets

Cash budget
Sales budget
Production budget
Expenditure budget

Preparing a Budget (The Process)

Identify needs
Estimate costs
Compare with available income
Allocate resources
Review and adjust

Learner Activity: The Event Planner
Students create a budget for a school event.

1.4 Banking

Importance of Banking in an Economy

Safe custody of money
Credit availability
Facilitates payments
Promotes investment

Types of Accounts Offered by Banks

Savings account
Current account
Fixed deposit account
Junior/youth accounts

Trends in Banking in Kenya

Mobile banking
Agency banking
Internet banking
Digital wallets

Ethical Practices in Banking

Confidentiality
Transparency
Compliance with laws
Responsible lending

Learner Activity: The Bank Visit (Simulation)
Role-play a visit to a bank and identify services offered.

Access Complete Grade 10 Business Studies Senior School Teaching Notes .

STRAND 2.0: BUSINESS AND ITS ENVIRONMENT

2.1 Business Activities

Concepts of Needs and Wants

Needs: Basic requirements
Wants: Additional desires

Economic Resources

Land
Labour
Capital
Entrepreneurship

Scarcity, Choice, and Opportunity Cost

Key economic principles influencing decisions.

Classification of Business Activities

Primary (extractive)
Secondary (manufacturing)
Tertiary (services)

The Business Environment

Micro: Suppliers, customers, competitors
Macro: Technology, laws, economy, culture

Learner Activity: The Resource Hunt
Identify resources used in everyday production.

2.2 Types of Business Ownership

Types

Sole proprietorship
Partnership
Cooperative societies

Learner Activity: The Debate
Students debate which business form suits a school enterprise.

2.3 Social Responsibility of Business

Justification for Social Responsibility

Builds goodwill
Improves community welfare
Enhances reputation

Social Responsibility Activities

Environmental conservation
Donations
Sponsorships
Community clean-ups

Challenges in Carrying Out CSR

Cost
Lack of skills
Limited community involvement

Designing and Implementing a CSR Activity

Students learn planning, budgeting, and community engagement.

Learner Activity: The Community Champion

2.4 Entrepreneurship

Entrepreneurial Skills

Creativity
Innovation
Risk-taking
Communication
Planning

Types of Entrepreneurs

Industrial
Social
Agripreneurs
Technopreneurs

Business Ideas vs. Business Opportunities

Ideas = concepts
Opportunities = viable ideas with market demand

Business Incubation

Support for startups—mentorship, workspace, capital.

Starting a Business in School

Students learn registration, budgeting, selling.

Learner Activity: The Pitch
Develop a pitch for a school-based business.

2.5 Production

Importance of Production

Creates utility
Provides employment
Generates income

Types of Utility

Form
Place
Time
Possession

Factors of Production

Land
Labour
Capital
Entrepreneurship

Types of Costs

Fixed costs
Variable costs
Total and average costs

Division of Labour and Specialisation

Improves efficiency and productivity.

Product Labelling

Brand name, contents, expiry date, barcode.

2.6 Consumer Satisfaction

Importance

Repeat customers
Brand loyalty
Positive reputation

Terms and Conditions of Supply

Return policy, warranty, payment terms.

Remedies for Consumers

Repair, replacement, refund.

Customer Satisfaction Survey

Learners design a questionnaire.

STRAND 3.0: GOVERNMENT AND GLOBAL INFLUENCE IN BUSINESS

3.1 Public Finance

Importance of Public Finance

Provision of public goods
Economic stability
Redistribution of income

Sources of Public Finance

Taxes
Fees and licenses
Grants
Borrowing

The Concept of Taxation

Compulsory contribution to government revenue.

Classification of Taxes

Direct taxes
Indirect taxes

Custom Duties

Import duty
Export duty
Excise duty

Trends in Taxation

Digital tax, excise review, online filing.

Ethical Issues in Taxation

Tax evasion vs. tax avoidance.

3.2 International Trade

Classification of Trade

Domestic
International
Wholesale
Retail

Importance of International Trade

Access to goods
Foreign exchange
Job creation

Terms of Sale (Incoterms)

FOB, CIF, EXW, etc.

Terms of Payment

Cash in advance
Letter of credit
Documentary collection

Balance of Trade vs. Balance of Payments

BOT = exports vs. imports
BOP = all transactions

Digital Applications

E-commerce, online marketplaces, payment apps.

Mapping Local Products for Export

Coffee, tea, flowers, leather, and fruits.

STRAND 4.0: FINANCIAL RECORDS IN BUSINESS

4.1 Business Transactions

Concept

A business transaction is any event affecting financial position.

Types

Cash transactions
Credit transactions

Methods of Payment

Cash, mobile money, cheques, EFT.

Learner Activity: The Payment Survey

4.2 Effects of Business Transactions

The Accounting Equation

Assets = Capital + Liabilities

Dual Aspect Concept

Every transaction has two effects.

Statement of Financial Position

Shows assets, liabilities, and owner’s equity.

4.3 Source Documents and Books of Original Entry

Part 1: Source Documents

Receipts
Invoices
Delivery notes
Credit notes
Debit notes

Part 2: Books of Original Entry

Sales journal
Purchases journal
Cashbook
General journal