DEMAND.
DEMAND.
SUPPLY.
SUPPLY.

Definition of demand. Factors influencing demand.
Factors influencing demand.
Demand schedule for an individual or entire market.
Demand curves.
Movement along, and shift in demand curves.
Factors influencing supply of a product.
Supply schedule and supply curve.

By the end of the lesson, the learner should be able to:


Define demand and effective demand.

State factors that influence demand of a commodity.

Prepare and interpret a demand schedule for an individual or entire market.

Brain storming;
Exposition;
Discussion.


Interpreting a demand schedule;
Brief discussion.

text book
text book
Graph papers.
Chart- increasing and decreasing -supply.
chart

New Inventor
KLB BOOK III
Pg 1
New Inventor KLB BOOK III pg 6-7

SUPPLY.

Movement along the curve.supply curve.
Shift in supply curve.
Equilibrium price and equilibrium quantity.
Equilibrium price and quantity. (graphical method)
Effects of change in demand on the equilibrium.

By the end of the lesson, the learner should be able to:
Explain changes in supply with changes in prices of the commodity.
Identify incidents where a supply curve expands to the right or left.

Probing questions,
Graphical illustrations.

text book
Demand and supply schedule.
Graph papers.
chart

New Inventor KLB BOOK III Pg 15-

SUPPLY.
SIZE AND LOCATION OF A FIRM
SIZE AND LOCATION OF A FIRM

Effects of change in supply on the equilibrium.
Excess demand and excess supply.
Other methods of determining the price of a product.
Concept of firm and industry.
Size of a firm.

By the end of the lesson, the learner should be able to:
Explain the effects of change in supply on the equilibrium.

Brain storming;
Discussion.

chart
text book

New Inventor KLB BOOK III Pg 21

SIZE AND LOCATION OF A FIRM
SIZE AND LOCATION OF A FIRM
PRODUCT MARKETS

Location of a firm.
Localization of a firm.
Delocalization of a firm.
Internal economies of scale. External economies of scale.
Internal and external diseconomies of scale.
Existence of small firms.
Negative impact of production activities on the environment.
Maintaining a healthy environment.
Introduction.

By the end of the lesson, the learner should be able to:
Identify factors influencing location of a firm.
Give reasons that contribute to existence of small firms.

Exposition of new concepts;
Detailed discussion.

Brain storming;
Oral questions;
Discussion.

chart
text book
text book
chart

New Inventor KLB BOOK III Pg 25-27
New Inventor KLB BOOK III Pg 32-33

PRODUCT MARKETS

Perfect competition market.
Monopoly.
Monopoly power.
Monopolistic competition.

By the end of the lesson, the learner should be able to:
Outline features of a perfect market.

text book
chat,text book

New Inventor KLB BOOK III Pg 41-42

PRODUCT MARKETS
CHAIN OF DISTRIBUTION
CHAIN OF DISTRIBUTION
CHAIN OF DISTRIBUTION

Oligopoly.
The kinked demand curve.
Channels of distribution.
Distribution of local agricultural produce.
Distribution of locally manufactured goods.

By the end of the lesson, the learner should be able to:
Describe features of an oligopolistic market.

Exposition;
Probing questions;
Discussion.

text book
Chart ?channels of distribution of local agricultural produce
Flow chart.

New Inventor KLB BOOK III Pg 46-47

CHAIN OF DISTRIBUTION
NATIONAL INCOME.
NATIONAL INCOME.

Distribution of imported goods.
Roles played by intermediaries in the distribution chain.
Choice of distribution channel.
Meaning of national income, GDP, NDP, GNP & NNP. Per capita income.
Circular flow of income.
Factors affecting circular flow of income.
Expenditure approach of determining national income.
Income approach of determining national income.

By the end of the lesson, the learner should be able to:
Describe distribution of imported goods.
Outline factors that affect circular flow of income.

Draw a flow chart;
Brief discussion.
Oral questions;
Exposition of concepts.

Flow chart.
Illustrative flow charts.
text book
Chart: circular flow of income.
text book
Calculators,text book
Calculators.

New Inventor KLB BOOK III Pg 52-53
New Inventor KLB BOOK III Pg 61-62

NATIONAL INCOME.
POPULATION & EMPLOYMENT.
POPULATION & EMPLOYMENT.
POPULATION & EMPLOYMENT.

Output approach of determining national income.
Uses of national income statistics.
Levels of national income.
Population growth.
Optimum population.
Under-population.

By the end of the lesson, the learner should be able to:
Determine national income using output approach.
List down problems associated with output approach.

Exposition of new concepts;
Probing questions;
Guided discussion;
Calculations.

Calculators.
text book
Chart- optimum population.
Chart- under population.

New Inventor KLB BOOK III Pg 65-66

POPULATION & EMPLOYMENT.

Over-population.
Young population.
Ageing population.
Declining population.
Population structure.
Employment and unemployment.

By the end of the lesson, the learner should be able to:
Cite factors that lead to over population.
State advantages and disadvantages of over-population.

Brain storming;
Oral questions;
Guided discussion.

Chart- over population.
text book
Chart- population structure pyramid.,
Diagram of vicious cycle of rapid population growth.

New Inventor KLB BOOK III Pg 75-77

POPULATION & EMPLOYMENT.
NET WORTH OF A BUSINESS.

Causes of unemployment.
Solving unemployment problems.
Basic terms used in business.
Book-keeping Equation.
Balance sheet.
Importance of a balance sheet.

By the end of the lesson, the learner should be able to:
Outline the main causes of unemployment.
Identify sources of assets.
Derive and explain the bookkeeping equation.

Q/A and brief discussion
Use a concrete example to arrive at the book-keeping equation.
Apply the book-keeping equation.
Supervised practice.

text book

New Inventor KLB BOOK III Pg 87-88
New Inventor KLB BOOK III Pg 95-97

NET WORTH OF A BUSINESS.
BUSINESS TRANSACTIONS

Book-keeping equation and balance sheet.
Net worth of a business.
Topic review.
Types of business transactions.

By the end of the lesson, the learner should be able to:
Relate book-keeping equation with balance sheet

Guided discovery;

chart

New Inventor KLB BOOK III pg 99

BUSINESS TRANSACTIONS

Effects of transactions on the balance sheet.
Changes in capital: Drawing.
Additional investments.
Profit & losses.
Initial and final capital of a business.

By the end of the lesson, the learner should be able to:
Determine the effects of transactions on the balance sheet.

Worked examples;
Supervised exercise;
Guided discovery.

chart
text book

New Inventor KLB BOOK III Pg 103-108

THE LEDGER.

Meaning and purpose of a ledger.
Rules of recording transactions in ledger accounts.
The concept of double entry.
Recording business transactions in ledger accounts.
Purchase of goods and purchase of stock in cash / on credit.
Purchase returns.
Sale returns.
Expenses in ledger account.
Revenues in ledger accounts.

By the end of the lesson, the learner should be able to:


Identify features of a ledger.
Explain the purpose of a ledger.

Record accounting transactions in ledger A/Cs.

Exposition of new concepts and detailed discussion.
Exposition;
Oral questions;
Guided discovery.

A ledger book.
A ledger.
text book
Ledger.
The Ledger.

New Inventor KLB BOOK III Pg 117
New Inventor KLB BOOK III Pg 120-5

THE LEDGER.

Drawings in ledger accounts.
Balancing ledger accounts.
Balancing an account with only one entry.
Uses of ledger accounts.

By the end of the lesson, the learner should be able to:
Record drawings in a ledger account.

Practical activity;
Worked examples;
Supervised practice.

The Ledger.
chart

New Inventor KLB BOOK III Pg 132

THE LEDGER.

Trial balance. Purpose of a trial balance.
Limitations of a trial balance.
Classification of ledger accounts.
The general ledger.

By the end of the lesson, the learner should be able to:
Identify features of a trial balance.
Explain the purpose of a trial balance.

Q/A: review meaning of a trial balance;
Guided discussion.

chart
Chart ?classes of accounts and appropriate ledgers.

New Inventor KLB BOOK III Pg 137-8

THE LEDGER.
THE CASH BOOK
THE CASH BOOK
THE CASH BOOK
THE CASH BOOK
INTERNATIONAL TRADE

Topic review.
Types of cash books. Single- column cash book.
The two- column cash book.
Ledger accounts from three-column cash book.
The three-column cash book.
Introduction, Types and Advantages
Disadvantages of International Trade
Computing Terms of Trade
Factors Affecting Terms of Trade
Balance of Trade and Balance of Payments Concepts
Preparing Balance of Payments Accounts

By the end of the lesson, the learner should be able to:
Answer review questions correctly.
Define international trade. Distinguish between bilateral and multilateral trade. State advantages of international trade. Explain how trade promotes specialization and employment.

Answer questions from revision exercise.
Q/A session on local trading experiences; Brainstorming on goods Kenya exports/imports; Group discussion on trade advantages with real examples; Analysis of technology transfer cases.

Single-column cash book.
Two-column cash book.
3-column cash book, the ledger.
3-column cash book.
World map, newspapers with trade reports, charts showing Kenya's trading partners, business magazines
Newspaper cuttings on industry closures, case study materials, charts showing trade impacts
Calculators, statistical data sheets, worked examples, formula charts
Case study materials, charts comparing different economies, business magazines
Trade statistics, charts showing balance structure, newspapers with economic data
Account worksheets, calculators, worked examples, practice data sets

New Inventor KLB BOOK III Pg 142-9
KLB Secondary Business Studies Form 4, Pages 162-164

INTERNATIONAL TRADE

Balance of Payments Disequilibrium
Terms of Sale in International Trade
Credit and Import Documents
Shipping, Insurance and Commercial Documents

By the end of the lesson, the learner should be able to:
Define balance of payments disequilibrium. Identify causes of disequilibrium. Explain methods to decrease import volumes. Analyze export promotion strategies.

Exposition of disequilibrium causes; Case studies on policy interventions; Discussion on import reduction methods; Analysis of export compensation and diversification strategies.

Policy documents, case study materials, charts showing correction methods
Shipping documents, cost calculation worksheets, practical scenarios, charts
Sample letters of credit, import licence forms, indent examples, banking documents
Bill of lading samples, insurance certificates, invoice examples, document comparison charts

KLB Secondary Business Studies Form 4, Pages 171-174

INTERNATIONAL TRADE

Specialized Trade Documents
IMF and World Bank
African Development Institutions

By the end of the lesson, the learner should be able to:
Describe proforma invoice purposes. Explain freight note and weight note functions. Analyze letter of hypothecation uses. Discuss shipping advice note and document flow in trade.

Exposition of specialized documents; Group work on document sequencing; Practical scenarios on document usage; Analysis of complete trade documentation cycle.

Document samples, flow charts, practical scenarios, case studies
Charts showing institutional structures, case study materials, project reports
ADB/ADF project reports, development case studies, institutional comparison charts

KLB Secondary Business Studies Form 4, Pages 178-179

INTERNATIONAL TRADE

Forms and Characteristics of Economic Integration
Importance and Effects of Economic Integration
Reasons and Methods of Trade Restrictions
Advantages and Disadvantages of Trade Restrictions
Trade Liberalization and Export Processing Zones
E-commerce and Digital Trade
Forms and Importance of Economic Integration

By the end of the lesson, the learner should be able to:
Define economic integration. Identify and explain four forms: free trade area, customs union, common market, economic union. Compare characteristics and features of each form. Analyze progression from simple to complex integration.
State advantages of trade restrictions for domestic industries. Identify disadvantages including retaliation risks and consumer impacts. Analyze quality and price implications. Evaluate long-term effects on economic efficiency.

Exposition of integration concept and forms; Group discussions on regional cooperation examples; Comparison of integration levels using charts; Analysis of East African integration progress.
Balanced analysis of restriction effects; Case studies on protection outcomes and retaliation; Discussion on consumer welfare impacts; Group evaluation of policy trade-offs.

Maps showing integration blocs, comparison charts, case study materials on regional blocs
Integration success stories, policy analysis documents, charts showing trade effects
Case study materials, tariff schedules, quota examples, policy documents, calculators
Policy analysis documents, consumer impact studies, case study materials
EPZ documentation, liberalization case studies, charts showing trade policy evolution
Computer/tablets for demonstration, e-commerce examples, online payment illustrations
Maps showing integration blocs, charts comparing integration forms, newspaper articles on regional cooperation

KLB Secondary Business Studies Form 4, Pages 182-184
KLB Secondary Business Studies Form 4, Pages 187-188

INTERNATIONAL TRADE
ECONOMIC DEVELOPMENT AND PLANNING

Advantages and Disadvantages of Free Trade
Reasons for Trade Restrictions
Methods of Trade Restrictions
Advantages and Disadvantages of Trade Restrictions
Trends in International Trade
Economic Growth and Development Concepts

By the end of the lesson, the learner should be able to:
Enumerate advantages of free trade including market expansion and specialization. Identify disadvantages such as revenue loss and unemployment risks. Analyze trade creation vs trade diversion effects. Evaluate impact on local industries and consumer choice.

Guided discussion on free trade benefits; Case studies on integration success stories; Group analysis of trade diversion problems; Q/A on consumer welfare impacts and government revenue effects.

Case study materials on successful integration, charts showing trade effects, policy analysis documents
Case study materials on protected industries, charts showing protection policies, newspaper articles on trade policies
Tariff schedules, quota examples, calculators, policy documents showing restriction methods
Policy analysis documents, case studies on protection outcomes, consumer impact studies
EPZ documentation, computers/tablets for e-commerce demonstration, charts showing trade liberalization effects
Statistical data on economic indicators, charts comparing developed vs developing countries, newspaper economic reports

KLB Secondary Business Studies Form 4, Pages 184-185

ECONOMIC DEVELOPMENT AND PLANNING

Characteristics of Under-development
Factors Hindering Development
Political, Social and Economic Institutional Factors
Development Planning Process and Objectives
Need for Development Planning and Benefits
Problems in Development Planning Implementation

By the end of the lesson, the learner should be able to:
Identify comprehensive characteristics of under-development. Explain high poverty levels and income disparity issues. Analyze unemployment problems and subsistence sector dominance. Discuss dependence on developed countries and infrastructure challenges.

Brainstorming session on development indicators; Detailed exposition of under-development characteristics; Group discussions on poverty and unemployment statistics; Visual analysis of infrastructure differences.

Statistical data on poverty and unemployment, photos showing infrastructure gaps, case study materials on developing countries
Case studies on development barriers, charts showing technology gaps, brain drain statistics
Governance case studies, cultural practice examples, charts showing institutional frameworks
Kenya's development plan documents, planning process flowcharts, resource allocation examples
Planning success case studies, foreign aid effectiveness reports, project evaluation examples
Case studies on planning challenges, disaster impact reports, examples of successful and failed development projects

KLB Secondary Business Studies Form 4, Pages 197-199