Description

Commercial Transactions

1. Nanok, Lokorito, and Nanjala are successful business persons in their own right having started off as traders in shoes, agricultural products, and supplies of stationery respectively. They all live in Lodwar and have learned Of the great opportunities arising from the new county government and the exploration for oil in the Turkana area. Given the size of their separate capital base and the growing business opportunities, they come to you for advice as to how they can optimize their capital base to maximize profits given the demands from the county government and the oil company which is leading on oil exploration in the region. Proceed to advise on at least three types of business organizations they may opt to form, giving the advantages and disadvantages Of each type.

(15 Marks)