SECTION A (20 Marks)

Answer all questions in this section.

l . For each of the items (i) (xv), choose the correct answer from among the given alternatives and write its letter besides the item number in the answer booklet provided.

(i) Suppose you have bought medicine from India and they are urgently needed to serve the life of patients in Tanzania, which mode of transport would you consider to be appropriate ?

1.  Road transport 
2. Air transport 
3. Water transport 
4. Railway transport 
5. Pipeline transport

(ii) If you have imported a used car from Japan, which document will be issued to you by the exporter that helps you to sort out customs formalities before the arrival of the car? 

1. Price list 
2. Delivery note 
3. Quotation
4. Proforma invoice  
5. Invoice

(iii) Under which classification the services provided by teachers, lawyers and police to their customers are categorized?

1.  Direct services 
2. Auxiliary services 
3. Personal services 
4. Public services 
5. Indirect services

(iv) The following are functions of production department in management except:

1.  controlling the quality of goods produced in production department.
2. maintaining the quality of machines in the production department.
3. developing and implementing production plans.
4. preparation of budget for activities carried in the department. 
5. recruiting members of staff for production department.

(v) By using the theory of demand, which factor influences the buying decision of a consumer?

1. Number of producers 
2. Preference and taste 
3. Level of technology 
4. Cost of production 
5. Availability of capital

(vi) You have been engaged in selling fresh beans business and you want to increase sales through advertising. Which factor will you consider in advertising your product?

1.  The income of the competitors.
2.  The steady supply of the products to be advertised.
3.  The income tax to be charged on the products.
4.  The nature of the product to be advertised.
5.  The purchasing power of your customer.

  (vii) Why a bill of lading is used as the evidence of contract between the exporter and the shipping company?

1.  It contains the details of the goods loaded in the ship.
2.  It shows the country from where the imported goods originates.
3.  It bears the name of the sender and the receiver of the goods.
4.  It shows the transport chargers the exporter paid to shipping company. 
5. It shows the value of the goods shipped.

(viii) There are several ways through which financial institutions raise their capitals. Which financial institutions raises its capital through selling shares to the public?

1.  Central bank 
2. Development banks 
3. Co-operative banks 
4. Commercial banks 
5. Saving banks

(ix) Ms. Magangas total sales during the year 201 8 was Tsh. 160 If her gross profit was 20% of sales, what was the cost of goods sold during the year?

1.  Tsh. 128,000/=
2.  Tsh 32,000/=
3. Tsh. 160,020/= 
4. Tsh.  160,000/=
5. Tsh. 192,000/-

(x) Why Tanzania Revenue Authority (TRA) insists on the use or Electronic Fiscal Device (E.F.D) machine?

1.  It transmits tax information to tax authority system automatically.
2.  It transmits only sales records to tax authority system automatically.
3. It enables the government to obtain income from selling E.F.D machines.
4. It reduces tax burden to all tax payers.
5. It reduces tax burden to businessmen.

(xi) Which factor of production is characterised by value appreciation?

1.  Capital 
2. Labour 
3. Land 
4. Entrepreneurship 
5. Machine

(xii) Which one is the correct form of classification of companies?

1.  Private limited companies, public limited companies and public corporations.
2.  Registered companies, statutory companies and chartered companies.
3.  Limited companies, unlimited companies and co-operatives.
4.  Parastatals, public corporations and marketing boards.
5.  Registered companies, unregistered companies and local bodies.

(xiii) Which set presents large scale retailers?

1.  Mobile shops, multiple shops and single shops.
2.  Super markets, tied shops and mobile shops.
3.  Multiple shops, super markets mail order shops.
4. Tied shops, mail order shops and super markets.
5.  Single shops, multiple shops and departmental stores.

(xiv) Suppose a Form One commerce student asked you about the best way of describing the term commerce. Which of the following is the best response that you could give?

1.  Commerce deals with distribution of goods to final users.
2.  Commerce deals with exchange of goods and services.
3.  Commerce deals with exchange and distribution of goods and services.
4.  Commerce deals with exchange of goods and services within the country. 
5. Commerce deals with exchange of goods and services outside the country. 

(xv) What is the correct term of insurance to be used when an insurer decide to spread part of the risks of high valuable items insured to other insurers?

1. Double insurance 
2. Over insurance 
3. Re-insurance 
4. Under insurance 
5. Co-insurance

THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL OF TANZANIA

CERTIFICATE OF SECONDARY EDUCATION EXAMINATION

061 COMMERCE

(For Both School and Private Candidates)

Time: 2:30 Hours Tuesday, 13^th November 2018 p.m. 

 Instructions

1. This paper consists of sections A, B and C with a total of ten (10) questions.
2. Answer all questions in sections A and B and two (2) questions from section C.
3.  Calculators, cellular phones and any unauthorized materials are not allowed in the examination room.
4. Write your Examination Number on every page of your answer booklet(s).

  SECTION A (20 Marks) 

Answer all questions in this section.

1. For each of the items (i) - (x), choose the correct answer from among the given alternatives and write its letter beside the item number in your answer booklet provided.

 (i)  Which of the following is not a characteristic of itinerant traders?

1. They may operate as regular dealers throughout the year.
2. They operate with a minimum of the establishment expenses.
3. They operate only alongside the main roads.
4. They operate their business without fixed premises. 
5. They operate with a very small amount of capital.

(ii)  The basic factors of production comprises the following:

1.   land, labour and organization.
2.  land, labour, organization and capital.
3.  land, organization and capital.
4.  land, labour and capital.
5.  land, organization, capital and production.

(iii) The inquiry letter may not be answered by one of the following:

1. by sending a catalogue. 
2.  by sending a price current.
3. by sending an invoice. 
4.  by sending a list price.
5.  by sending a quotation.

(iv) Which of the following statements is true?

1.   Economics is a branch of commerce.
2.  Economics is a branch of production.
3. Commerce is a branch of economics.
4.  Commerce is not a branch of production.
5.   Production is a branch of commerce.

(v) Why does advertising become a burden to the users of the product?

1.   It increases production.
2.  It increases the final price.
3. It reduces quality of the product.
4. It reduces the choice of the customers. 
5. It increases the turnover.

 (vi)  Which of the following statements represents indirect service?

1.   A farmer produces maize for her personal use.
2. A factory worker produces shoes for his customers.
3.   Retailer sales goods to his customers.
4.  Wholesaler sales goods to his customers.
5.  A doctor provides treatment to his customers.

(vii) Which one of the following is not among the limitations of insurance?

1.   Losses must be accidental 
2.  Losses must be catastrophic. 
3.  Losses must be compensated 
4.  Losses must be of similar risks 
5.  Losses must be reasonably unexpected.

 (viii) The five main functions of stock administration include:

1.   receiving, placing of items, selling, care of stock and issuing.
2.  receiving, placing of items, care of stock, issuing and stock control.
3.  receiving, issuing, stock control, stock care and dusting of items.
4.  receiving, issuing, stock control, stock level and placing of items.
5.  receiving, issuing, placing of items, dusting and sorting of spoilt items.

(ix)  The tax system whose rate remains constant irrespective of change in income or property is referred to as

1. Direct tax 
2.  Proportional taxation
3. Indirect tax 
4.  Progressive taxation
5.  Regressive taxation.

(x)  Movement alongside the supply curve is caused by

1.  change in price of the commodity
2.  change in quantity demanded
3. increase in price of the commodity 
4.  decrease in price of the commodity 
5.  increase in quantity supplied.

(i)                 Which of the following is not a major goal of planning in business?

1.   To gain economic operation
2. To focus attention on objectives
3. To facilitate control
4. To maintain profits
5. To offset uncertainty and change

(ii)               Marine insurance policy which do not specify the subject matter insured is referred to as

1. time policy 
2.  cargo policy.
3.  floating policy 
4. mixed policy
5. voyage policy

(iii)             Which of the following is the disadvantage of mail order business?

1. There is limited range of goods
2.   Middlemen can be eliminated
3. Trade is carried out 24 hours
4. Not necessary to maintain a big shop
5. No shop assistants are employed

(iv)              The traders who buy goods from abroad in their own name and sell them locally are called

1.  import commission agents   
2.   import argents.
3. import merchants 
4.  import brokers
5.  importers’ argents.

(v)                A certificate of incorporation is a document that

1. governs the relationship of the company with outsiders.
2. empowers the company to commence business activities.
3.   gives a company a legal existence.
4.  lays down rules and regulations of the internal organization of a company. 
5.  invites offer from the public for subscription of shares of a company.

(vi)              Which of the following is not the aim of marketing boards?

1. Finding a satisfactory market.
2. Stabilizing prices of agricultural products.
3. Ensuring a steady supply of the commodity all through.
4.  Encouraging competition between marketing boards.
5. Assisting farmers with collection and storage of their produce.

(vii)            The warehouses which are situated at terminals of railway, air ports and sea ports are known as

1. public warehouse. 
2.  bonded warehouse 
3. wholesaler’s warehouse 
4.  manufacture’s warehouse. 
5.  private warehouse.

(viii)          A special crossing is a type of crossed cheque which consists of 

1. two parallel lines with no words between them.
2. two parallel lines with words ‘and Company’ between them
3. two parallel lines with drawee’s name between them 
4.  two parallel lines with drawer’s name between them
5. two parallel lines with endorser’s name between them.

(ix)              An insurance principle which restored the insured to the same position after the event is known as

1.  Insurable interest.   
2.  Utmost good faith.
3. Subrogation.   
4. Contribution.
5. Indemnity.

(x)                What are the two main stages in production?

1. Direct production and indirect production.
2. Direct production and secondary production.
3.  Commerce and industry.
4.  Primary and secondary industries.
5. Trade and industry.

THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL

CERTIFICATE OF SECONDARY EDUCATION EXAMINATION

061 COMMERCE

(For Both School and Private Candidates)

Time: 2:30 Hours Friday, 11^th November 2016 p.m.

Instructions

1. This paper consists of sections A, B and C.

2. Answer all questions in sections A and B and two (2) questions from section C.

3. Calculators and cellular phones are not allowed in the examination room.

4. Write your Examination Number on every page of your answer booklet(s).

SECTION A (20 Marks)

Answer all questions in this section.

1. For each of the items (i) - (x), choose the correct answer from among the given alternatives and write its letter beside the item number in your answer booklet.

(i) Goods can mainly be classified as

1.  durable goods and perishable goods
2.  consumer goods and producer goods
3.  consumer goods and economic goods
4.  producer goods and free goods
5.  producer goods and economic goods.

(ii) A cheque which is presented to the payee before the date on it is called

1.  dishonoured cheque 
2.  crossed cheque
3.  stale cheque
4.  post-dated cheque
5.  open cheque.

(iii) Which one of the following is the disadvantage of departmental store to the seller?

1.  Wide choice of products.
2.  Convenience in shopping.
3.  Extensive use of advertising.
4.  Careful selection of goods.
5.  Services to customers.

(iv)The main reason for the existence of public corporations is to

1.  maximize profits for distributions to members of the public
2.  provide certain essential services to members of public
3.  enlighten the public on how to conduct their business
4.  sell shares to members of the public
5.  to distribute loss made by corporations to members of the public.

(v) Bi-lateral trade in international trade means

1.  a country has a greater part of her foreign trade with only one country.
2.  a country has a greater part of her foreign trade with only two countries.
3.  a country has a greater part of her foreign trade with several countries.
4.  a country has a greater part of her export trade to only one country.
5.  a country has a greater part of her import trade from several countries.

(vi) The capital employed is obtained by

1.  adding current assets to current liabilities
2.  adding current assets to total liabilities
3.  adding total assets to total liabilities
4.  adding total assets to working capital
5.  adding total liabilities to working capital.

(vii) A life assurance policy where an assured person promises to pay premium for a specified number of years is called

1.  Whole life policy
2.  Endowment policy
3.  Annuity policy
4.  Family income policy
5.  Group life policy.

(viii) Which one of the following is not an important clause of a charter party?

1.  The parties to the agreement.
2.  The cargo to be carried.
3.  The freight to be paid for the voyage.
4.  The terms of the voyage.
5.  The passengers to be carried.

(ix) Which document is to be sent by the exporting country showing the list of goods needed to the importer who buy goods through an agent?

1.  letter of credit
2.  Bill of lading
3.  Certificate of origin
4.  An indent
5.  Bill of exchange.

(x) Which of the following is the correct form of transport?

1.  Water, land and air.
2.  Water, land and railway.
3.  Water, air and road.
4.  Sea, railway and air.
5.  Land, lakes and air.

THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL

CERTIFICATE OF SECONDARY EDUCATION EXAMINATION

061 COMMERCE

(For Both School and Private Candidates)

Time: 2:30 Hours Friday, 10^th November 2015 p.m.

Instructions

1. This paper consists of sections A, B and C.

2. Answer all questions in sections A and B and two (2) questions from section C.

3. Calculators and cellular phones are not allowed in the examination room.

4. Write your Examination Number on every page of your answer booklet(s).

SECTION A (20 Marks)

Answer all questions in this section.

1. For each of the items (i) - (x), choose the correct answer from among the given alternatives and write its letter.

(i) A document which serves as an invitation to the general public to buy shares is called:

1. Memorandum of Association
2. Articles of Association
3. Prospectus
4. Certificate of trading
5. Certificate of incorporation

(ii) Why is a debit note issued?

1. To correct any error in an invoice
2. To correct an undercharge in an invoice
3. To correct an overcharge in an invoice
4. To correct an overcharge in an account
5. To correct an undercharge in an account

(iii) Which principle is applied when a country decides to produce goods or services that bring a greatest advantage to the country?

1. Absolute advantage
2. Competitive advantage
3. Comparative advantage
4. Cooperative advantage
5. Continuous advantage

(iv) Find the price elasticity of demand using proportionate change method for maize when demand falls from 800kg to 600kg due to increase in price from shs 40 per kg to shs 60 per kg.

1. 3/4
2. -3/4
3. 20/21
4. -20/21
5. 1/2

(v) Which of the following should not be considered when communicating?

1. The source of communication
2. The consent of the message
3. The process by which the communication is produced
4. The evidence of communication
5. The method by which it is transmitted

(vi) Production can generally be classified as:

1. constructive, extractive and manufacturing industries
2. industries, commerce and direct services
3. industries, trade and aids to trade
4. home trade, aids to trade and direct services
5. foreign trade, aids to trade and direct services

(vii) A document showing the details of commodity sent and its total value which the receiver will have to pay is known as

1. Consignment note
2.  Delivery note
3. Invoice  
4. Proforma invoice
5.  Consular invoice

(viii) Which of the following canons of taxation shows clearly the amount to be paid to the state by the tax payer?

1. Convenience 
2. Equity
3. Certainty   
4. Economy
5. Productivity

(ix) Ex works is a price quotation which presents the cost of goods as they leave the:

1. bonded warehouse premises
2. manufacturers premises
3. port of destination
4. port of loading
5. public warehouse premises

(x) The bank that issues the legal tender currency in any country is

1. Commercial banks
2. Central bank
3. Investment bank
4. Bank of Tanzania
5. National Bank of Commerce

THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL CERTIFICATE OF SECONDARY EDUCATION EXAMINATION

061 COMMERCE

(For Both School and Private Candidates)

Time: 2:30 Hours Friday, 14^thNovember 2014 p.m.

Instructions

1.This paper consists of sections A, B and C.

2.Answer all questions in sections A and B and two (2) questions from section C.

3.Calculators and cellular phones are not allowed in the examination room.

4.Write your Examination Number on every page of your answer booklet(s).

SECTION A (20 Marks)

Answer all questions in this section.

1. For each of the items (i) ­ (x), choose the correct answer from among the given alternatives and write its letter beside the item number in your answer booklet.

(i) Advertising is important because it mainly

1. creates the demand for the goods and services
2. creates employment for a large number of people
3. reduces the price of goods and services
4. induces customers to buy goods that have minor defects
5.  creates the demand for the goods of low quality.

(ii) Which of the following are the major sources of partners’ capital?

1. Financial institutions.
2. Trade credit from suppliers.
3. Profit from the business.
4. Business properties sold.
5. Hire purchase.

(iii) Which one of the following statements is true of a sole trader?

1. He is legally separate entity from the business.
2. He has limited liability.
3. His business has unlimited legal life.
4. He makes decisions with other co­partner.
5. He enjoys all the profits and suffers all the losses.

(iv) The main reason for the existence of public corporations is to

1. maximize profits for distributions to members of the public
2. provide certain essential services to members of public
3. enlighten the public on how to conduct their business
4. sell shares to members of the public
5. to distribute loss made by corporations to members of the public.

(v) Which one of the following documents is used by a buyer to gather information from the seller?

1. An order.
2. An invoice.
3. A statement.
4. A delivery note.
5. An inquiry.

(vi) Road transport is used mainly as as a method of carrying goods within the country because it is the

1. cheapest form of transport
2. quickest form of transport
3. most widely available form of transport
4. most reliable form of transport
5. safe mode of transport.

(vii) Which one of the following is a method used by government to protect consumers?

1. Fixing minimum prices.
2. Fixing maximum prices.
3. Fixing minimum profits.
4. Fixing maximum profits.
5. Fixing minimum and maximum prices.

(viii) A debit note is used to correct 

1.  undercharge on an invoice
2. overcharge on an invoice
3. undercharge on a statement
4. overcharge on a statement
5. undercharge on an order.

(ix) Which of the following activities cannot be classified as productive?

1. Working as a cook in your own house.
2. Playing hockey as a professional.
3. Working as a cook in a restaurant.
4. Playing cards as a hobby.
5. Building house of a neighbour.

(x) Which of the following reasons does not justify the existence of parastatal enterprises?

1.  To provide goods and services not being provided by the private sector.
2. To enable the government to control the distribution of certain commodities.
3. To enable the government to control the profits earned by the private enterprises.
4. To provide goods and services at relatively fair prices.
5. To control exploitation of the individuals by the private sector.

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