BUSINESS STUDIES FORM ONE REVISION QUESTIONS:

CHAPTER ONE: INTRODUCTION TO BUSINESS STUDIES.

REVISION QUESTIONS:
1. Salim owns a small shop where he sells handmade shoes and jewellery. He advertises
his products at the local market and sometimes online through social media. Does
Salim’s shop qualify as a business? Explain five (05) reasons for your answer.
2. Your aunt applied for a loan from a microfinance institution with the aim of opening a
restaurant. However, the loan officer asked her to explain the purpose of that business.
Help your aunt to explain five (05) her business purpose.
3. Khadija transported woods from Njombe last month. She used them to make different
furniture. Briefly explain the processes that Khadija needs to undertake for the
furniture to reach the final consumers.
4. Baraka is a secondary school teacher; he needs to buy a laptop for his school
activities. At the same time, he would like to buy a bicycle. However, he does not
have enough money to buy both. If you were baraka, what would you consider to
make the right choice? Why?
5. Your neighbor wants to open a grocery store. With reasons, advise him on the five
categories of goods he can sell.
6. Shukuru works in the beverage industry and earns Tshs 150,000/= per month. Her
father retired from his work and decided to give her Tshs 4,000,000/= to start a
business of selling school shoes and quit the beverage school shoes and quit the
beverage industry.
a) What is the opportunity cost of Shukuru’s decision to start a business?
b) Will Shukuru’s business meet consumer needs or consumer wants? Explain your
answer.
7. Omary is a new form one student who is ambitious to become a business person.
Explain to Omary five (05) points how business studies will help him achieve that
goal,
8. Business studies is a combination of various field of study. Justify the statement.
9. With examples, explain five (05) different business activities carried out in your
community.
10. Briefly explain the concepts of scarcity and opportunity cost.
11. Briefly explain six (06) the importance of studying business studies in people’s daily
life. Neema owns a small shop in her village where she sells different types of goods.
One day, she receives a new stock, including food items, household products, and
electronics. She needs help sorting them into durable goods and perishable goods
before arranging them on the shelves. Help Neema classify the following items
correctly?

List of Goods: Classification

i) Loaf of bread
ii) Refrigerator

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 iii) Fresh milk
iv) Cooking oil
v) Wooden table
vi) Tomatoes
vii) Mobile phone
viii) Pack of sugar
ix) Bananas
x) Sofa set
12. The government of Tanzania encourages people to use some goods while
discouraging the use of others. Some goods provide long-term benefits to individuals
and society, while others can have negative effects if overused. Classify the following
goods into merit goods and demerit goods?

List of Goods Classification

i) Vaccines
ii) Cigarettes
iii) Public libraries
iv) Alcohol
v) Free education
vi) Hard drugs
vii) Clean water
viii) Gambling services
ix) Health care services
x) Junk food

13. 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

LIST A LIST B
i) An organization engaged in producing or buying
and selling goods and services with the aim of A. Capital
earning profit and satisfying customers’ needs B. Land
ii) The natural resources used in production. C. Scarcity
iii) The human effort, both physical and mental, used D. Opportunity cost
to produce goods and services. E. Production
iv) Man-made resources like machinery and tools used F. Entrepreneurship
in production. G. Labor
v) The ability to organize and manage resources to H. Business
create a business.

14. Match the descriptions of various types of goods in List A with the corresponding
types of goods in List B by writing the letter of the correct response below the item
number in the table provided.

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 LIST A LIST B
i) Goods which are provided by nature, and are A. Luxury goods
abundant in supply. B. Capital goods
ii) Goods which have high social benefits to consumers. C. Perishable
iii) Goods that are scarce and yield utility to an goods
individual. D. Economic
iv) Goods which are produced to assists production of goods
other goods. E. Merit goods
v) Goods which have short life span in nature. F. Public goods
G. Free goods

CHAPTER TWO. ENTREPRENEURSHP,

REVISIONS QUESTIONS:
1. Based on experience of the daily activity done in the market such as products sold,
purchased and business persons involved, which type of entrepreneurship is mostly
practised in your market and why?
2. Assume that you have an idea of opening a grocery store and employing the homeless
persons to reduce the number of unemployed people in your area. Describe the type of
entrepreneurship you will undertake.
3. Hawa came across a discussion about who is an entrepreneur on her way home from
school. The debaters, knowing Hawa is a form one student, they decided to invite her
to give views on the discussion. What remarks should Hawa make?
4. Hamisi, who works at a local telecommunication company, sees an opportunity to use
mobile money for short-term loans as a new service. Does it make him an
entrepreneur? Why?
5. People working in the field of education have special characteristics that enable them
to carry out their duties and responsibilities effectively. The same applies to lawyers,
doctors and in other professions. How is this statement correct to an entrepreneur?
6. The products people are using today are different from those that were used in the
past. They are either modified in size, usage, quality or quantity. What is your
comment on these changes?
7. Ikule Secondary School will host an entrepreneurship week to encourage students to
learn about entrepreneurship. One of the students from your school will be invited as
a guest speaker to talk to students about entrepreneurial skills. If you are the one to be
invited, provide five (05) briefly summary of the skills you will talk about.
8. Upon arriving home from school, you met your neighbours arguing about the value of
entrepreneurship. They believed that, entrepreneurship lacks any value. Inform them
about five (05) the importance of entrepreneurship.
9. 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.

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 10. Creation of employment is one among the contributions of entrepreneurship activities
in the Tanzania economy. Discuss five (05) points.

CHAPTER THREE. SOLE PROPRIETORSHIP.

REVISION QUESTIONS:

1. Amina wishes to use her personal funds to open a business, but she is not sure if the
funds will be sufficient. Advice Amina on a form of business that requires a small
amount of money and explain why.
2. Zainabu owns a business in which he enjoys the profit and takes responsibility in case
of loss. Describe five features of the business owned by Zainabu.
3. “Operating a business as a sole proprietor has benefits as well as drawbacks” discuss
five (05) by providing relevant examples where possible.
4. Using knowledge you have acquired on sole proprietorship, discuss the challenges
faced by sole proprietors in your school community.
5. Based on the challenges faced by sole proprietorship in your local community, choose
any business which you can establish and propose creative five (05) ways or solutions
to address the challenges you might encounter.
6. Describe five (05) basic features of sole proprietorship.
7. Profit generation is one of the sole proprietorship’s motivations, how important are
the sole proprietorships to the world? Discuss five (05 points)
8. Sole proprietorships like any other form of business face challenges in its operation.
Explain five (05) those challenges and suggest how they can be solved.

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