You need to read this > http://en.support.wordpress.com/affiliate-links/
If you wish to have your own ads then you will have to hire a web host and set up a WordPress.org install. http://support.wordpress.com/com-vs-org/
You cannot initiate any advertising on your blog. There is an advertising program called WordAds and aside from it no blogger initiated advertising, retailing or reselling the work or products created or services provided by anyone other than yourself is allowed on free hosted wordpress.COM blogs. E-commerce transactions via shopping carts and the like cannot be conducted on free blogs from and being free hosted by wordpress.COM
If you do require an ecommerce site, advertising and/or affiliate links you can hire a web host and get a free software install from http://wordpress.org Refer to > http://support.wordpress.com/com-vs-org/
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