THE PRESIDENT’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT 

BUSINESS STUDIES FORM ONE

MIDTERM EXAMINATION AUGUST 2025

TIME: 2:30 Hrs

INSTRUCTIONS 

1. This paper consists of Section A, B and C with a total of ten (10) questions
2. Answer Questions from all questions.
3. Section A and C carries fifteen (15) marks each, while section B carries seventy (70) marks
4. All answers should be written in the space provided on this questions paper.

SECTION A (15 Marks)

1. For each of the items (i) -(x), choose the correct answer from among the given alternatives and write its letter in the box provided (i) The concept of opportunity cost applies because:

1. Resources are unlimited
2. People can have everything they want
3. Choosing one option means giving up another
4. Goods and services are free

(ii) Jackson has TZS 50,000. He can either buy a pair of shoes for TZS 50,000 or two Tshirts for TZS 25,000 each. He decides to buy the shoes. What is Jackson’s opportunity cost?

1. TZS 50,000 spent on shoes
2. The two T-shirts he did not buy
3. The money he saved 
4. The benefit of wearing shoes

(iii)The government provides free vaccinations to children to protect them from diseases. Which type of goods is being provided?

1. Merit good
2. Demerit good
3. Free good 
4. Economic good

(iv) Which among of the following businesses is not type of personalities?

1. Retreat
2. Ritualist
3. Reformist 
4. Honesty.

(v) Salim opened a shop to make profit and serve his community. What type of activity is Salim engaged in?

1. Sports
2. Business
3. Farming 
4. Volunteering.

(vi) The following are the characteristics of human wants EXCEPT?

1. Unlimited.
2. scarcity.
3. competitive.
4.  complementary.

(vii) Process of moving goods services from where they are produced to where they are needed for being utilized is called?

1. Consumption
2. Production
3. Exchange
4.  Distribution.

(viii) Goods with high social benefits to consumers such as education, health are called?

1. Producer goods
2. Demerit goods
3. Consumer goods 
4. Merit goods

(ix) Which of the following IS NOT considered as a business?

1. Any activity aiming at generating profit.
2. The process of recording business transaction.
3. An enterprise owned by a twenty people. 
4. An organisation which engages in buying and selling of goods.

(x) Which informal means do entrepreneurs use to gather information for further improvement in their business?

1. Marketing
2. Primary research
3. Survey
4. Informal debates.

2. Match the items from List A with those in those in List B by writing the letter of a correct option in List B that corresponds to an item in List A

SECTION B (70 Marks)

Answer all questions from this section

3. Briefly explain the following concepts in relation to business studies.

(a) Intrapreneur. _____________________________________________________________________ __________________________________________________________________

(b) Production. _____________________________________________________________________ _____________________________________________________________________

(c) Business studies _____________________________________________________________________ _____________________________________________________________________

(d) Entrepreneurship _____________________________________________________________________ _____________________________________________________________________

(e) Entrepreneurial skills. _____________________________________________________________________ _____________________________________________________________________

4. Business studies is a combination of various fields of study. Justify the statement by elaborating any five (05) fields of business studies.

1.  _____________________________________________________________________
2.  _____________________________________________________________________
3. _____________________________________________________________________
4.  _____________________________________________________________________
5.  _____________________________________________________________________

5. (a) Describe two classes of human wants

(i) _______________________________________________________________

(ii) _______________________________________________________________

(b) Explain three types of entrepreneurships

1.  ________________________________________________________________
2. ________________________________________________________________
3. ________________________________________________________________
4. ________________________________________________________________

6. Briefly explain four main input/resources used in production.

1. ________________________________________________________________
2. ________________________________________________________________
3. ________________________________________________________________
4. ________________________________________________________________

7. Upon arriving home from school, you met your neighbors arguing about the value of entrepreneurship. They believed that, entrepreneurship lacks any value. Inform them about five (05) the importance of entrepreneurship.

(i) _____________________________________________________________________ _______________________________________

(ii) _____________________________________________________________________ _______________________________________

(iii)_____________________________________________________________________ _______________________________________

(iv) _____________________________________________________________________ _______________________________________

 (v) _____________________________________________________________________ _______________________________________

8. Successful entrepreneur is always confident and optimistic. Describe five (05) attributes of a successful entrepreneur in Tanzania.

1.  _____________________________________________________________________
2. _____________________________________________________________________
3. _____________________________________________________________________
4. _____________________________________________________________________
5. _____________________________________________________________________

9. In studying Business Studies there are differences things that students learn. As a student come up with five (05) importance that you learn from studying Business Studies

(i) _____________________________________________________________________ ___________________________________

(ii) _____________________________________________________________________ ___________________________________

(iii)_____________________________________________________________________  ___________________________________

(iv) _____________________________________________________________________  ___________________________________

(v) _____________________________________________________________________ ___________________________________

SECTION C (15 Marks)

10. During the inter-school competition, you met form one students from Pasiansi Secondary School arguing on whether entrepreneurs are made or born. Based on the five (05) theories of entrepreneurship you learnt, help them understand about entrepreneurship.

PRESIDENTS OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

PRESIDENTS OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

FORM ONE TERMINAL EXAMINATION

BUSINESS STUDIES

TIME: 2:30HRS MAY: 2025

INSTRUCTION

1. This paper consist of section A, B, and C.
2. Answer all questions in section A, B and C.
3. Answer all question in the space provided.
4. Cellular phoned, calculators and any computerized material are not allowed in the examination room.
5. All writing must be in blue/black ball pen except drawings which must be in pencil.
6. Write your examination number at the top right corner of every page.

SECTION A: 

OBJECTIVE QUESTIONS (15 Marks)

1. For items (i)-(x) write the correct answer from alternatives given in spaces provided

(i) Which of the following is the primary goal of a business?

1. To provide free goods and services
2. To generate profit
3. To employ all people in the community
4. To minimize innovation

(ii) The process of transforming raw materials into finished products to satisfy human needs and wants is known as:

1. Distribution
2. Exchange
3. Consumption
4. Production

(iii) Which of the following is an example of a free good?

1. Computer
2. Sunlight
3. Cloth
4. Pen

(iv) Which factor of production involves innovation, risk-taking, and organization?

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

(v) The ability to produce new and unique ideas is:

1. Innovation
2. Creativity
3. Risk-taking
4. Perseverance

(vi) A business owned, managed, and controlled by one person is a:

1. Partnership
2. Sole proprietorship
3. Company
4. Cooperative

(vii) Which of the following is a disadvantage of a sole proprietorship?

1. Easy to form
2. Quick decision making
3. Unlimited liability
4. Direct relations with customers

(viii) The ability to influence people towards the accomplishment of common goals is:

1. Management skill
2. Negotiation skill
3. Leadership skill
4. Communication skill

(ix) Which type of entrepreneurship focuses on providing innovative solutions to social problems?

1. Business entrepreneurship
2. Intrapreneurship
3. Social entrepreneurship
4. Commercial entrepreneurship

(x) The theory of entrepreneurship that views innovation as a key tool is:

1. Need achievement theory
2. Risk bearing theory
3. Innovation theory
4. Status withdrawal theory

Answers

2. Match the terms in Column A with their correct descriptions in Column B.

Answers

SECTION B: 

SHORT ANSWER QUESTIONS (40 MARKS)

3. a) Explain four business processes with examples.

b) Describe four purposes of a business.

4.(a) Differentiate between ‘needs’ and ‘wants’, giving three examples of each.

b) Explain why Business Studies is important for individual development.

5. (a) Identify and explain four resources used in production.

(b) Describe five features of a sole proprietorship.

6. (a) Explain five advantages of a sole proprietorship.

(b) Outline the steps involved in forming a sole proprietorship.

7.(a) Define entrepreneurship and an entrepreneur.

(b) Describe five characteristics of an entrepreneur.

8. (a) Explain three types of entrepreneurship.

(b) Describe four entrepreneurial skills.

9. (a) Explain five factors that facilitate entrepreneurship.

(b) Briefly explain four theories of entrepreneurship.

SECTION C: ESSAY QUESTION (30 MARKS)

10. (a) Discuss the challenges faced by sole proprietorships and suggest solutions for each.

(b) Evaluate the importance of entrepreneurship in the economic development of a country

OFFICE OF THE PRESIDENT, REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

SECONDARY EXAMINATION SERIES

MID TERM EXAMINATION

BUSINESS STUDIES FORM ONE

MARCH-APRIL-2025

TIME: 2HRS 30 MIN

INSTRUCTIONS.

1. This paper consist of section A, B, and C with total of 10 questions.

2. Answer all questions

3. Section A carry fifteen 15 marks, section B seventy 70 marks and fifteen 15 marks in section C.

4. All answers must be written in the spaces provided.

5. Write your Assessment number / Name at the top right hand corner of every page

SECTION A: 15 MARKS

1. For items (i)-(x) choose the correct answer from alternatives given and write the correct answer in spaces provided.

(i)Deborah owns a soft drinks business. What form of business unit is this?

A) Sole proprietorship   

B) Company

C) Limited liability partnership

D) Partnership

(ii) The following are the characteristics of sole proprietorship EXCEPT:

A) Controlled by the owner  

B) High start-up capital  

C) Owner takes all the risks  

D) The business assets are not legally separated from the owner’s assets  

(iii) What is a key advantage of a sole proprietorship?

A) Easy to form a business  

B) Limited liability of the owner

C) Separate legal entity status

D) Limited skills

(iv) In a sole proprietorship context, what does unlimited liability mean?

A) The proprietor can invest unlimited amount of money in the business

B) The business has unlimited potential for expansion

C) The proprietor’s personal assets are at risk in case the business incurs liabilities  

D) The proprietor is responsible for registering the business

(v) Which among the following businesses is a form of sole proprietorship?

A) Coffee shop owned by Asha, Mary, and Adam

B) Mobile company owned by Asha and her friends

C) Butcher owned by Adam  

D) Salon owned by a Tanzanian and an American

(vi)A sole proprietorship is the most ______ form of business ownership.

A) complex

B) common  

C) expensive

D) structured

(vii) Mwanaidi is a student who has a talent for designing clothes. She decides to start a small business where she designs and sells her own clothing. This involves purchasing fabric, using her sewing skills to create the clothes, and then selling them to customers. Which business processes are demonstrated by Mwanaidi’s activities?

A)  Production and consumption

B)  Distribution and exchange

C)  Production and exchange

D)  Consumption and distribution

(viii) Baraka has saved some money and is thinking about how to use it. He can either invest in a small business venture or put the money in a savings account. If he chooses to start the business, he will have to give up the interest he would have earned in the savings account. What economic concept does this illustrate?

A)  Scarcity

B)  Opportunity cost

C)  Needs and wants

D)  Consumption

(ix) Shukuru is considering starting a business selling school shoes. Her father has given her TShs 4,000,000 to begin, but she is currently employed in the beverage industry earning TShs 150,000 per month. What is the opportunity cost of Shukuru’s decision to start the shoe business?

A)  TShs 4,000,000

B)  The potential profit from the shoe business

C)  TShs 150,000 per month

D)  The cost of goods for the shoe business

(x) Which of the following is a disadvantage of a sole proprietorship?

A) Easy to form

B) Direct relations with customers

C) Unlimited liability  

D) Enjoys all the business profit

2. Match the terms in Column A with their correct definitions in Column B.

SECTION B. 70 MARKS. ANSWER ALL QUESTIONS

3. (a) What is a sole proprietorship?   

(b) List three examples of sole proprietorships.  

4. (a) What does unlimited liability mean in the context of a sole proprietorship?  

(b) State three advantages of a sole proprietorship.  

5. (a) Mention three disadvantages of a sole proprietorship.  

(b) How can a sole proprietor solve the challenge of unlimited liability?  

6. Why is succession planning important for a sole proprietorship?   

7. What is the main goal of a business?

8. Define ‘opportunity cost’ and give an example.

9. (a) Why is it important to study Business Studies?

(b) How does Business Studies relate to Mathematics?

SECTION C. 15 MARKS. ANSWER QUESTION 10

10. Explain the contributions of sole proprietorship to development of Tanzania economy