THE PRESIDENT’S OFFICE MINISTRY OF EDUCATION, REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

COMPETENCY BASED SECONDARY EXAMINATION SERIES

                                                             COMMERCE   FORM THREE

TIME: 3 HOURS                                                                                 NOVEMBER 2022

INSTRUCTIONS

1. This paper consists of section A, B and C with total of  ten (10) questions
2. Answer all questions in section A and B and only two questions from section C
3. Section carries twenty (20) marks, section B carries fifty (50) marks and section C carries thirty (30) marks 
4. Programmable calculators, cellular phone and any unauthorized materials are not allowed in the examination room
5. Write your NAME on every page of your answer sheet(s)

Section A (20 Marks)

Answer all questions in this section

1. Careful read the following questions, then choose the correct answer from the alternative given and write its letter on the space provided.

1. John and Johnson has been partners for several years, but John has been dealing with all business affairs alone, how can you group Johnson in such partnership business                                                                                                            

1. As sleeping partner
2. As an active partner
3. As Quasi partner  
4. As general partner
5. As Unlimited partner

2. The reduction of prices which results from large purchases is known as;          

1. Price support
2. Re-sale price maintenance
3. Trade discount 
4. Cash discount
5. Discount allowed 

3.                     Mamalishe has been selling fresh juice by using water bottle in her restaurant, so the process of placing fresh juice in water bottle is called? 

1. Brading
2. Packing
3. Packaging
4. Putting
5. Grading   

4.                      Mr. Pweza prefers buying carbonated soft drinks (Mango) from Azam Co.ltd, after the rise in prices for Mango Juice, he decided to shift and consume fresh juices from Mamalishe. The demand for two commodities is classified as:  

1. Joint demand
2. Complementary demand
3. Independent demand 
4. Competitive demand
5. Derived demand

5. When drawing supply curve, automatically supply curve slope upward from left to right. Why does this supply curve slope upward from left to right? 

1. The lower the price, the higher the quantity demanded and vice versa
2. When the price is held constant, the quantity supplied increases
3. When the factors other than price held constant, Quantity supplied increases
4. The higher the price, the higher the quantity of commoditied supplied and vice versa
5. The lower the price, the higher the supplied

6.                      Given that, a daily sale is 20kg of NIDO milk, delivery time 5 days, Minimum stock 100kg, and Maximum stock 70kg. What will be the order point?  

1. 200kg B. 100kg  C. 150kg  D. 180kg  E. 120kg  E. 70kg

7.                   A kind of home trade which deals with buying of goods in large quantity from the wholesaler and selling them to the final consumers is called? 

1. Home trade
2. Wholesale trade
3. Retail trade
4. Foreign trade
5. Import trade

8.                 Mr. Mwasambabha as household has prepared a fresh fruit juice for his child Consumption. In which kind of production activities done by Mwasambabha be grouped? 

1. Primary Production
2. Tertiary production
3. Direct production 
4. Indirect Production
5. Personal services

9.                      Which of the following qualities of a good money signifies that, good money should have a long life span 

1. Portability
2. Malleability
3. Durability 
4. Divisibility
5. Difficult to make a fake copy

10. Mr. Matata own a supermarket at Singida Bus terminal. Which one of the following stock computation will help him to identify fast and slow moving items in the business 

1. Average stock
2. Stock turn rate
3. Minimum stock 
4. Stock order point
5. Stock levels 

11.                      Self service is a common features of a .............

1. Chain store
2. Single shop
3. Supermarket 
4. Tied shop
5. Multiple shop

12.                   Continuing rise in general level of prices and consequent fall in purchasing power of money is called?    

1. Deflation
2. Inflation
3. Disinflation 
4. Equilibrium price
5. Rein - Inflation

13.                 Are warehouses which are owned by the government and individual and its free to any one wishing to hire them for a certain charge; 

1. Bonded warehouse
2. Private warehouse
3. Public warehouse
4. Wholesaler warehouse
5. Retailer warehouse

14.                 Mr Kimbo wishes to start his drinking water industry at Kigoma, then how can he differentiate his product from other company’s products like Uhai, Afya ect.

1. Through packaging
2. Through branding
3. Through price
4. Through packing
5. Through standardizing  

15.                    Which method would Tanzania adopt if she wants to complete restrict importation of sugar from Malawi 

1. Imposing heavy import duty
2. Total ban
3. Fixing Import quota 
4. Using government agencies
5. Using VAT

2.      For each of item (i-v) match the description of item in list A with their corresponding names in list B by writing the letter of the correct response on the space provided

SECTION B (50 Marks)

Answer all questions in this section

3.      Differentiate between the following terms

a)      Packing and packaging 

b)      Composite demand and competitive demand

c)      Commerce and economics

d)      Air transport and land transport

e)      Specialization and division of labour

4.      a) (a) Mr. Kiombo has been producing Beans for years and selling them at his private warehouse, but he has been running his business at loss, what do you think could be the reasons for running his business at loss? Identify any five reasons

(b)   Mr. Kiombo who has been producing Beans for years and selling them within a local market, but now he wishes to sell them to Kenya, he has been thinking either to use road transport or air transport.

Required: Since you have business knowledge briefly explain to him any five factors to be taken into consideration before choosing any model of transport system

5.      Careful study the following demand and supply schedule for Cooking oil in Tanzania and then answer the questions below

a)      Draw a demand and supply curve in the same pair of axes

b)      Indicate the equilibrium point, equilibrium quantity and equilibrium price

c)      Calculate price elasticity of demand when cooking oil price changed from Tshs.

2,000 to 5,000

d)      Give Comment on the results you obtained in question (c) above

e)      Name any five factors affecting demand of Cooking Oil in Tanzania

6.      a) Miss Janeth has been employee as an Accountant at Singida Regional Hospital for 10 years, this year she has decided to quit the job and become an entrepreneur. Highlight any six reasons why Janeth decided to be entrepreneur.

(b)   Since Miss Janeth has decided to be an entrepreneur, provide your profesion advice by naming any four factors that should be taken into consideration when locating her business. 

7.      a) Define cheque and identify any three circumstances under which a cheque may be dishonoured

(b)   Mr. Keko a Sole trader, who own a departmental store at Dodoma City wishes to apply for a loan from NMB Bank for his business expansion, but he is not aware of any factors that are taken into consideration by Bank before giving loans to their customers. As business expert help Mr. Keko by briefly explaining to him any five factors that Banks take into consideration before granting loan to their customers

Section C (30 Marks)

Answer only two questions from this section

8.      (a) Differentiate departmental store and supermarket

(b)   Small scale retailers like road side traders, machingas, auctioneers and market stall holders has been increasing in our country, but they are facing many challenges. Explain any five challenges facing small scale retailers in Tanzania.

9.      In our country most of the products are imported from other countries such as China, Japan, India etc, but to much importation may have negative impact in our country. So what do you think should be done in order to reduce to much importation of products from abroad(Discus any five factors)   

10.  (a) Define and identify any five difficulties associated with barter trade system

(b)   We normally use money in our daily live, as student explain how do you use money. (Explain any six uses)