All Bright Learners Private school Mid year Commerce Exams

Section A: Multiple choice [20]

1. Which of the following is a consumer good?

A. Fertilizer
B. Plough
C. Seed
D. Vegetables

2. ............ is part of primary production.

A. Canning beef
B. Constructing bridges
C. Grorving trees
D. Milking cows

3. Of the following, identify an example of direct production.

A. Canning factory
B. Clothing manuf-acturer
C. Subsistence farmer
D. Commercial farmer

4. Which one of the following is not an advantage of indirect production?

A. Loss of craftsmanship
B. Division of iabour
C. Goods are mass produced
D. Surplus in production

5. Which of the following factors of production has to do with equipment, machines and productive
capacity?
A- Land
B. Labour
C. Capital
D. Entrepreneurship

6. Of the following which one is not a way of adding value to a product

A. branding.
B. packaging.
C. drying.
D. buying.

7. Exploitation of resources results in

A. Iand degrading.
B. control of budgets.

C. inflation.
D. land reform.

8. Who owns the means of production in

A. Foreigners
B. Locals
C. Zimbabwe
D. Christians

9. Which statement does not describe barler trade?

A. Exchange of goods for services'
B. Exchange ofgoods for goods.
C. Exchange of services for moneY.
D. Exchange of services for services.

10. Which statement indicates entre-port trade?

A. Zimbabrve buying maize from South Africa.
B. Storing maize from South Africa destined for Zambia.
C. Zimbabwe selling maize to South Africa.
D. Insuring exported goods.

11. Choose the statement that best describes trade.

A. Buying of goods and services.
B. Selling of goods and services.
C. Buying and selling of goods and services.
D. Distribution of goods and services

12. ................is a branch of home trade.

A. Wholesaling
B. Exporting
C. Importing
D. Entre-Port trade

13. Which statement best describes the tetm producer?

A. Maker of goods
B. Seller of goods
C. Provider of goods and services
D. Distributor of goods and services.

14. ............. is a feature of a cash and carry wholesaler?

A. Offering credit to customers.
B. Carrying goods for customers.
C. Offering specialist advise to customer.
D. Offering a variety of goods to customers.

15. Which one is a function of money?

A. Legal tender
B. Divisibility
C. Stability of value
D. Store of value

16. Insurance is defined as

A. protection of life.
B. pooling of risks.

C. covering risks.

D. compensation for loss.

17. An example of a non-insurable risk is

A. financial risk.
B. risk of change in fashion.
C. investment risk.
D. theft.

18. Risks that are unpredictable and do not have statistics are called
A. probable. B. insurable.
C. non-insurable. D. consequential

19. A beneficiary in an insurance contract is a

A. broker. B. insurer.
C. third party. D. insured.

20... .......... service is offered by a supermarket?

A. delivery
B. credit
C. Personal service

D. variety

Form 1

Section B: [30]

1. State: (a) the functions of money. [5]

(b) characteristics of good money. [5]

2. Explain the following terms:

a) Commerce. [2]
b ) Production. [2]
3. Describe any four benefits of wholesaler to a farmer. [4]

4. Who benefits from the following

a) Insurance. (1)

b) Assurance (1)

5. State and explain the four(4) factors of production. [8]

6. Draw and label the chain of production. [2]

Form 2

Section B: [30]

1. Describe the following documents that are used in home trade:

(i) statement of account. [2]
(ii) invoice. [2]
(iii) advice note. [2]
(iv) letter of enquiry. [2]

2. (a) How does a quotation differ from a price list? [4]

3. (a) What are commodity markets? [2]
(b) Explain the functions of commodity markets. [4]

4. Explain the seruices offered by the Grain Marketing Board. [4]

5. Explain the following in relation to insurance:

(i) Utmost good faith. [2]
(ii) insurable interest. [2]
(iii) Indemnity. [2]
(iv) proximate cause. [2]

6. State the advantages and disadvantages of a sole trader. [8]

7. State one difference between a sole trader and a partnership. [2]