THE PRESIDENT’S OFFICE

REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

FORM ONE ANNUAL EXAMINATION

COMMERCE

TIME: 3 HOURS         NOVEMBER 2024 

Instructions

1. This paper consists of Sections A, B and C with a total of ten (10) questions.

2. Answer all questions in the spaces provided.

3. All answers must be in blue or black ink except diagrams which must be in pencil.

4. All communication devices and calculators are not allowed in the assessment room.

5. Write your Assessment Number on the top right corner of every page.

SECTION A : (30 Marks)

Answer all questions in this section

1. For each of the following questions (i - x) choose the correct answer and write the letter of the correct answer in the space provided:

(i) Mr. Patrick is farming maize for selling and for his family use. What is the name of the

activity conducted by Mr. Patrick?

(A) Direct services

(B) Direct production

(C) Production

(D) Indirect production

(ii) A sales man wants to identify the fast and the slow moving goods in his shop. Which

calculation will help him?

(A) Re order level

(B) Rate of stock turn

(C) Average stock

(D) Margin percent

(iii) In your school every teacher teaches a subject that he/she is best at. What best describe that process?

(A) Division of labour

(B) Specialization

(C) Self-employment

(D) Efficiency of labour

(iv) From the following list who is a final user of goods and services? 

(a) Distributor 

(b) Retailer 

(c) Manufacturer 

(d) Consumer 

v. Which of the following is not correct about commerce: 

(a) Commerce is a part of production 

(b) It is divided into trade and aids to trade 

(c) Commerce is part of trade 

(d) Commerce is a part of economics 

(vi) During the holiday you once visited a certain shop were you buy what you needed

through self-service system. What is the name of that shop?

(A) Supermarket

(B) Tied shop

(C) Mail order shop

(D) Departmental stores

vii. Suppose your fellow student asked you to identify two branches of commerce. Which alternative would you choose among the following? 

(a) Trade and direct services 

(b) Wholesale trade and retail trade 

(c) Home trade and foreign trade 

(d) Aids to trade and trade 

(viii) The abbreviation C.W. O on an order form means:

(A) Cash on delivery

(B) Come with order

(C) Cash with order

(D) Customer without order

(ix) If there was a farmer who had wheat and wanted salt he had to find the one who had salt and wanted wheat. This is an example of …

(A) Lack of store of value

(B) Lack of measure of value

(C) Difficult to transport some goods

(D) Lack of double coincidence of wants

(x) For an entrepreneur to be successful he/she needs to possess number of characteristics. The following are some of them except

(A) Hard working

(B) Perseverance

(C) Money spender

(D) Risk taker

ANSWERS:

2. Match the items in LIST A with the responses in LIST B by writing the correct letter of an item in the table provided.

Answers:

SECTION B (70 Marks)

Answer all questions in this section

3. Assume you had the privilege to meet the minister for industry and Trade, Explain to the minister how entrepreneurial motivation will enhance economic growth in Tanzania

(five points)

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4. Your friend of form four plans to start her own business after completing her studies. She wants you to explain to her different challenges facing entrepreneurs in Tanzania. Explain five (5) challenges to her.

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5. One of form one students argued that, “aids to trade plays an important role in trade” Justify the validity of this statement. 

6. During the financial year of 2021, Adriano Co. Limited started opening a business of buying and selling agricultural produce with opening stock that was valued at Tshs 150 million and purchased produced goods for that period that was valued Tsh 180 million. Additionally, the closing stock for the period was valued at Tshs 30 million. Based on the given information above, calculate the following;

(i) Cost of goods sold

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(ii) Average stock

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(iii) Rate of stock turn over

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7. Just like a patient who use oxygen since cannot use his lungs to breath because they are destroyed, trade cannot go smoothly without some factors. Briefly explain five (5) factors for smooth running of trade.

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8. Shukuru has just completed his degree from the University of Dodoma. Despite many

companies’ calls to work with him, he insisted on having his own barber shop. Briefly explain five (5) benefits of his decisions.

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9. Mayele wishes to start a business of selling goods to the final consumers in his local area. He approaches you to explain attributes he is supposed to possess for him to become a successful retailer. Briefly explain five (5) attributes

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SECTION C (15 Marks)

11. Suppose you find people with the stand that Economics and Commerce have the same meaning. As an expert in commerce, briefly rule out their stand. 

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