PRESIDENT OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

FORM THREE MID TERM TEST MARCH 2023

061 COMMERCE

TIME: 3 Hours

Instructions

1. This paper consists of sections A, B and C.
2. Answer all questions in section A, 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 following 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.

1. Teachers, doctors and lawyers are said to be involved in production. Their contributions may be grouped under.

1. Commercial occupations
2. Distributive occupations
3. Direct services
4. Indirect services

2. Businessmen who do not have permanent business premises are called;

1. Itinerant traders
2. Brokers
3. Gamblers
4. retailers

3. I bought 100 units of a certain commodity from Suhail. The gross price is shs. 10 per item and trade discount is allowed at 20%. If I settle the debt within 30 days I will be allowed a cash discount of 4%. I intend to pay immediately. How much should I pay?

1. 500/=
2. 450/=
3. 894/=
4. 768/=

4. . . . . .Is a means used by producers to identify their products from other manufacturers.

1. Brand name
2. Sorting
3. colors
4. price fixing

5. The principal document in an insurance contract is:

1. Policy
2. Cover note
3. Proposal form
4. Certificate
5. Premium

6. One of the following is a method used by the government to collect money from most people whether foreigners or citizens whenever they buy goods for use

1. Fees
2. Direct tax
3. Cooperation tax
4. Indirect tax

7. The decrease in price for motor vehicle will probably increase the demand for petrol. The relation between these two products is:-

1. Derived demand
2. Joint demand
3. Competitive demand
4. Composite demand

8. One among the following is NOT a function of bank of Tanzania (B.O.T.)

1. It acts as a banker to commercial banks
2. It lends money to the discount house if there is no other source
3. It is the sole currency issuing authority
4. It advises the government on financial matters

9. When a current account show a large amount of withdrawal than deposit:

1. Bank draft
2. Bank overdraft
3. Bank profit
4. Bank chargers

10. The following is not advantage of mail order shop

1. The buyer gets trouble and discomfort in buying in shops
2. There are no bad debts because sales are through cash
3. It is not necessary to maintain expensive show rooms
4. The price is cheaper because middlemen are eliminated

11. A contract of carriage of goods by water are generally called:-

1. Bill of lading
2. Charter party
3. Marine contract
4. Voyage charter

12. Advertising is important because it mainly;

1. Creates employment for a large number of people
2. Creates demand for the goods and services
3. Reduces the price of goods and services
4. Creates market for quality goods

13. The most essential characteristics of money is:

1. Acceptability
2. Portability
3. Durability
4. Scarcity

14. Which one is not an importance of motivation?

1. Good human relationship
2. Higher level of performance
3. Desire to work freely and independently
4. Low level of performance

15. Supermarkets are different from the other large-scale business because they use

1. After-sales services
2. Self-service system
3. Transport system
4. Consumer protection system.

2. Match the item is column A with the responses in column B by writing the letter of the correct response beside the item number in your answer booklet.

SECTION B (50 marks)

Answer all questions in this section.

3. Write short notes on the following

1. Dumping
2. Postal remittance
3. Quasi partner
4. Marketing research
5. Promissory note

4. (a) Outline five (5) advantages of specialization.

(b) Give five (5) ways in which land is useful as a factor of production.

5. The following balances were extracted from the books of Malaya’s clock business for the year 2020.

• Opening stock sh. 23,000/=
• Purchases sh. 115,000/=
• Carriage inwards sh. 3,000/=
• Purchases return sh. 18,000/=
• Sales sh. 200,000/=
• Sales return sh. 15,000/=
• Closing stock sh. 30,000/=
• Current assets sh. 45,000/=
• Current liabilities sh. 90,000/=
• Fixed assets sh. 180,000/=
• General expenses are 10% of the gross profit.

From the above information calculate:

1. Cost of goods sold
2. Gross profit
3. Net profit
4. Rate of stock turnover
5. Mark up
6. Margin
7. Working capital

6. (a) Define partnership deed

(b) Mention five (5) contents of partnership deed.

7. Briefly explain four (4) factors that a bank manager should put into consideration before providing loan to customer.

SECTION C (30 MARKS)

Answer two (2) questions from this section.

8. (a) Briefly explain four (4) methods used by a country to control the volume of imports.

2. Critically analyze (4) four disadvantage associated with sole proprietorship.

9. (a) What is cooperative society?

2. “Despite of having shortcoming of marketing boards but played an important roles in our country.” Justify this statement by giving five (5) points

10. Musuta is a trader who exports fresh fish and flowers from Tanzania to Japan and he did not know the best means of transport to be used. As a commercial student:

1. Identify and suggest the suitable means of transport to be used.
2. Describe five (5) advantages and three (3) disadvantages of the means transport chosen in (a) above.

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

FORM THREE COMMERCE MID-TERM EXAMINATION

TIME: 2:30 HOUR April, 2022  

INSTRUCTIONS;- 

1. This paper consists of section A, B and C with a total of ten (10) questions.
2. Answer all questions from section A, B and only two (2) questions from section C
3. Non programmable calculator may be used.
4. Write your names on every page of your answer sheet. 

SECTION A: (20 MARKS)

Answer ALL questions in this section

1. For each of the items (i)-(xv), choose the correct answer from among the given alternatives and write its letter beside on the items number;

1. Which one of the following functions of commerce in satisfying human needs and wants is to close the gap between:

1. Wholesalers and retailers
2. Producers and consumers
3. Producers and retailers
4. Retailers and consumers ( )

2. When choosing the media of communication to use, the user should not have to consider:

1. Cost
2. Distance
3. Reliability
4. Speed ( )

3. The means of transmitting information electronically is called;;

1. Telecommunication
2. E-communication
3. E-mail
4. Website ( )

4. Under which classification the services provided by teachers, doctors, lawyers and policemen to their customers are categorized?

1. Auxiliary services
2. Personal services
3. Direct services
4. Public services ( )

5. What is the correct name for a middleman considered as a producer’s representative to the consumer?

1. Retailer.
2. Merchant.
3. Broker.
4. Auctioneer ( )

6. Containerization involves the;

1. Attracting packing of goods
2. Standard sizing of transport unit
3. Preparation of goods for deep freezer storage
4. Simplifying transport of goods ( )

7. The communication process can be described as;

1. Sender, message, channel, receiver and feedback
2. Sender, channel, message, receiver and feedback
3. Sender, message, channel, feedback and receiver
4. Message, sender, channel, receiver and feedback ( )

8. A businessman Said Bakhresa introduced a new Ukwaju Ice-Cream which in turn attracted more customers at Soweto in Mbeya. In this case Bakhresa is;

1. Innovator
2. Businessman
3. Creator
4. Organizer ( )

9. The process of giving a particular name to the product is known as;

1. Trade name
2. Trade mark
3. Branding
4. Packing ( )

10. Which one of the following given characteristics has not been associated with an entrepreneur’s success?

1. Commitment
2. Creativity
3. Risk bearing
4. Motivation to fail ( )

11. Most entrepreneurs in Tanzania especially the Machinga view changes in economy as:

1. Problematic.
2. Threatening.
3. Inconvenient.
4. Opportunity. ( )

12. Guaranteeing spare parts when required by customers is an aspect of;

1. Advertising
2. After –sales services
3. Personal selling
4. Sales promotion ( )

13. By using the theory of demand which factor influences the buying decision of a customer?

1. Price of a commodity
2. Preferences and tastes
3. Cost of production
4. Level of production ( )

14. Three types of advertising a firm might use are informative, collective and competitive. What is another type of advertising?

1. Media
2. Persuasive
3. Point of sales
4. Sales promotion ( )

15. Aims at finding out opinions of the public about a particular product is referred to as;

1. Communication
2. Transport
3. Advertising
4. Marketing research ( )

2. Match the explanations of the marketing functions in Column A with Marketing functions concepts in Column B by writing the letter of the correct response besides the item number.

SECTION B (50 MARKS)

Answer ALL questions in this section

3. Your best friend Mr uongo mbaya has presented you with the following information related to his business of selling bananas for the period ended 28^th.April.2021;

Sales …………………………………………………………100,000/=

Opening stock ………………………………………………..10,000/=

Closing stock ………………………………………. 25% of sales

Gross profit margin ……………………………………20%

By using the above given information help your friend to calculate the following;

1. Gross profit
2. Cost of sales
3. Purchase
4. Rate of stock turnover
5. Gross profit mark-up

4. Being a self-employed businessman is better rather than being an employed worker of other business people. Using a knowledge that you have obtained from entrepreneurship competence based course, give five (5) points to convince your parents to allow you to employ yourself rather than being employed in various business companies.

5. Differentiate between the following commercial terms:

1. Commerce and business.
2. Buying and selling
3. Advertising and sales promotion
4. Oral communication and written communication
5. Land transport and air transport

6. (a)For a business communication to be effective there must be clear communication between the organization and its customers. This will allow the business to communicate with the customers about any changes that have happened in the business. By using the knowledge of business communication describe five (3) barriers to effective communication to the business organization.

(b) How the government benefits from bonded warehouses? Give only two (2) reasons.

7. (a) Standardization and grading is one of the marketing functions. With three (3) points, briefly explain how grading become necessary in marketing the product.

(b) Suppose Mr. Kwetu pazuri had assigned you to prepare the class presentation about the essential elements of business communication. Briefly explain five (5) essentials of effective business communication that you will consider in your presentation.

SECTION C (30 MARKS)

Answer only TWO questions in this section

8. Explain six (6) benefits that would accrue to a business person who transports goods by liners rather than by tramps in sea transport.

9. Promotion mix is the use of various methods and techniques of influencing, informing and persuading customers to increase sales of product in the business. Describe five (5) elements of promotion mix in order to form up the promotion strategy of a business firm.

10. “Personal selling is the method of selling goods and services conducted by a salesperson through face to face interaction with consumers”. Examine six (6) qualities which a salesperson should possess

PRESIDENT’S OFFICE MINISTRY OF EDUCATION AND LOCAL GOVERNMENT

COMMERCE MID TERM EXAMINATION-2020

TIME: 2:30HRS

NAME:_______________________________________CLASS:___________

INSTRUCTIONS

1. This paper consists two sections A and B
2. Answer All questions in both sections
3. Answers should be written in blue/black ink

SECTION A

MULTIPLE CHOICE QUESTIONS

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

i) All of the following methods are involved in a barter exchange except:

1. The buyer must have some goods to give to the seller
2. The buyer must pay cash to the seller
3. The buyer can offer labour services to obtain goods
4. There must be a double coincidence of wants

ii) Which one of the following is an example of a barter trade?

1. Fish and coins
2. Goat and notes
3. Cow and chair
4. Sheep and silver coins

iii) Which of the following industries deal with natural resources?

1. Manufacturing
2. Constructive
3. Extractive
4. Textile

iv) The resources in the form of money or materials that a person or an organization has for establishing and running a business is called:

1. Merchandise
2. Basic needs
3. Capital
4. Debts

v) The point where demand and supply curves intercept is called:

1. Centre point
2. Zero point
3. Equilibrium point
4. Margin

vi) A refrigerator used in making ice cream for sale, is in the category of:

1. Consumer goods
2. Luxury goods
3. Producer goods
4. Domestic goods

vii) Generally, more goods will be supplied when:

1. Prices are relatively high
2. Prices are relatively low
3. Prices are fairly competitive
4. Prices are fixed by the government

viii) Traders who do not have permanent business premises are called:

1. Itinerant traders
2. Gamblers
3. Brokers
4. Underwriters
5. Retailers

ix) The last people in the distribution chain are:

1. The customers
2. The retailers
3. The wholesalers
4. The consumers

x) Given that:

Daily sales = 20 tins of NIDO milk

Delivery time = 5 days

Minimum stock = 100 tins of NIDO milk

Order point is:

1. 200 tins
2. 150 tins
3. 180 tins
4. 100 tins

2. MATCHING ITEMS

Choose the items in group A that matches with the items in group B

GROUP A

i) Keeping stock in good order and at the right time

ii) The period of time between ordering and replenishment, i.e. when goods are available for use

iii) Releasing sold stock to the customers

iv) The level reached immediately after the receipt of new supply of goods

v) The level at which placing of a new order must be done

vi) Sells goods to other traders

vii) Is a document sent by the seller to the buyer to correct an overcharge on the original invoice

viii) Is a document sent by the seller to the buyer to correct an undercharge on the original invoice

ix) Is a written order from an account holder to the bank, to pay a specific sum of money to the person named on it

x) Are self-services shops that stock varieties of items?

GROUP B

1. Super markets
2. Retailers
3. Credit note
4. Debit note
5. Cheque
6. Drafts
7. Wholesalers
8. Manufacturers
9. Issuing of stock
10. Order point
11. Care of stock
12. Lead or procurement time
13. Stock taking
14. Maximum stock
15. Stock valuation

3. Short answer questions

i) Traditional Media

ii) Visual communication

iii) Inflation

iv) Expansionary Monetary policy

v) Savings bank

SECTION B

Answer All questions in this section

4. “Money is as money does “Discuss.

5. Discuss the importance of communication to business

6. a) What is B.O.T?

b) Examine the functions of B.O.T in Tanzania

7. Explain the qualities of a good retailer

8. Explain the problems facing communication in Tanzania

9. a)Explain the term “ Transportation”

b) State the merits of air transport in Tanzania. (Five points)

10. Discuss the factors which must be considered for choosing a mode of transport

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