JSS2 Second Term Exam Questions on Business Education [SSIA]

You’re welcome to our school exams series where we provide you with termly examination questions in different subjects, from different schools. In today’s post, we will focus on Business Education exam questions and our source will be Sure Success International Academy [SSIC]. We will cover JSS2 second term exam questions on Business Education and provide their answers at the end. Remember to use the comments sections if you have questions, and don’t forget to join our Free Online Tutorial Classes on Facebook. (Like and Follow Page)

JSS2 Second Term Exam Questions on Business Education [SSIC]

In Sure Success International Academy [SSIC], JSS2 Second Term Examination Questions on Business Education are normally divided into two broad sections:

• Section A
• Section B

The first section, namely, Section A is the objective test, and students are expected to attempt all questions in the section. Section B is the theory part, and students are expected to follow the given instructions and answer the specified number of questions.

Note that what you have below are JSS2 Business Education Second Term Examination Past Questions made available to assist students in their revision for 2nd term examinations and also teachers in structuring standard termly examinations.

SURE SUCCESS INTERNATIONAL ACADEMY (SSIA), PORT HARCOURT.
Term: 2nd Term Examination
Class: JSS 2
Subject: Business Education
Duration: 2 hrs

Any form of examination malpractice may lead to a repeat of the subject or suspension. Don’t get involved.

SECTION A: Objectives

Attempt All the Questions in this Section by choosing from the options lettered A—D.

1. Insurance policy is taken against stealing by breaking into a house or shop
A. marine insurance
B. burglary
C. fidelity guarantee
D. accident

2. Goods not sold for immediate cash is called ________
A. discount sales
B. credits sales
C. debit sales
D. common sales

3. Components are represented by
A. dots            B. dashes
C. stroke         D. diagonals

4. Some goods and services which are ready for use by consumers are known as ________ goods
A. primary        B. manufactured
C. consumer     D. capital

5. The taxes derived from the imposition of taxes on imported goods is ________
A. to control gluttonous individuals
B. to assist the cost of law manufactured goods
C. to control rate of export of certain goods
D. protection of indigenous manufactured goods or similar goods

6. ________ is a specialized bank established for the benefit of people who wish to own building
A. union bank
B. apex bank
C. mortgage bank
D. sky scrapers bank

7. The large building consisting of many departments under one roof in which various goods are sold in each department is called ________
A. self – service store
B. departmental store
C. general goods department
D. store department

8. ________ is a small examination consisting of association of retailers who contribute their money worth to buy in bulk from the manufacturer and resell to the public in bits
A. whole sale retailer
B. retail co-operative societies
C. social co-operative societies
D. management co-operative societies

9. A small movable structure with an opening in its front: used by retailers to display their goods for sale: ________
A. to stall        B. hawking
C. kiosk           D. open-air market

10. One of the small retail outlets is ________
A. stalls            B. transportation
C. banking       D. warehousing

11. ________ is one of the advantages of hawking
A. large amount of capital is needed to start hawking business
B. those who secure a store engage in hawking business for livelihood
C. small capital is needed to start hawking business
D. people do not engage in hawking business

12. ________ are the aids to trade that facilitate distribution of goods
A. insurance and transportation
B. advertising and communication
C. transportation and warehousing
D. banking and insurance

13. An organized market where raw material are bought and sold is called ________
A. commodity market
B. capital market
C. money market
D. social market

14. ________ are small rooms, kiosk or stands that are sometimes lockups in large-walled areas in urban centers to enable buying and selling take place
A. stalls         B. capital market
C. shops        D. open market

15. ________ is a career opportunity in capital market
A. journalism
B. transaction billing
C. accounting officers
D. buying and selling

16. Cost of goods sold is determined by ________
A. deducting closing stock from sales
B. deducting the sum of purchases and opening stock from total sales
C. deducting closing stock from the sum of opening stock and purchases
D. adding sales return from inwards

17. In book-keeping, the abbreviation ‘Dr’ stands for ________
A. debit          B. drawee
C. down          D. drawal

18. When buying by ________ the buyer can look at the goods closely
A. sample        B. description
C. auction        D. inspection

19. The postage book shows the number of ________
A. mail clerks
B. incoming mails
C. letters despatched
D. workers employed to despatch letters

20. The order in which goods are moved from the producer, farmer or manufacturer to the final consumer is ________
A. transportation
B. consignment
C. channel of distribution
D. movement by rail

21. ________ is a colourful magazine kept by the company for their customers to have the pictures of goods produced or sold by the company, brand name, part or identification number and sometimes prices
A. invoice           B. catalogue
C. bill board       D. index card

22. If the cost of goods sold is N25,000, mark-up is N5,200, total sales = Nx, find the value of Nx (i.e. total sales)
A. N40.00         B. N35,200
C. N45,000       D. N7,200

23. If the percentage mark-up is 7%, calculate the mark-up of goods which cost N25,800 is
A. N1,850          B. N4,200
C. N3,600          D. N2,650

24. One of these methods is not a classification of filing
A. alphabetical filing
B. geometric filing
C. subject filing
D. numeric filing

25. Find the net profit of a business if the gross profit is N35,000, discount received is N10,000 and the total business expenses is N12,560
A. N32,450          B. N33,250
C. N37,440          D. N45,000

26. When payment for goods is done at the spot, the seller issues ________ to the buyer
A. sight of sales
B. credit note
C. payment voucher
D. cash sales invoice

27. The price at which a commodity producer sells is ________
A. profit margin
B. purchase price
C. lost price
D. selling price

28. The formula for finding the selling price is ________
A. cost of goods sold plus mark-up
B. cost of goods sold minus mark-up
C. mark-up plus opening stock
D. opening stock plus purchases minus mark-up

29. The situation by which selling price is greater the cost price is called ________
A. turn over
B. net profit
C. profit margin
D. gross profit

30. In order to make profit, the producer should sell his products ________
A. above cost of production
B. below cost of production
C. equal to cost of production
D. below cost of production

31. The gross profit of a retailer is calculated by using this formula:
A. turnover minus return inwards
B. cost of goods sold minus total sales
C. total sales minus cost of goods sold
D. sales minus purchases

32. The net profit of a producer is calculated by using this formula:
A. gross profit minus mark-up
B. gross profit minus net sales
C. gross profit minus cost of sales
D. gross profit minus administrative expenses

33. Buying and selling business transaction through the post office is called ________
A. postage
B. mail order business
C. hawking
D. retail co-operative

34. Motor vehicle insurance is divided into ________ and ________
A. first party insurance and comprehensive motor vehicle insurance
B. second and third party motor vehicle insurance
C. comprehensive and third party motor insurance
D. motor vehicle third party and fourth party insurance

35. An arrangement whereby the goods, usually industrial equipment of high value are delivered to the user for a periodic rent for example, monthly is known as ________
A. hire purchase
B. lease
C. deferred payment
D. credit sales

36. A cheque which is to be paid in a future date is called ________
A. post-dated cheque
B. stale cheque
C. future cheque
D. ante-dated cheque

37. The ________ of money by a buyer has paid greater part of higher purchase price and defaults payment
A. agreement      B. possession
C. equity             D. suggestion

38. The business document issued by the seller to the buyer which shows that the sale of goods has taken place is ________
A. manifest          B. debit note
C. credit note       D. invoice

39. A book where a trader records all his cash sales is called ________
A. cash sales book
B. invoice
C. price list
D. cash receipt

40. In ________ form of sales, if the buyer fails to pay the seller can only recover his money and not the goods
A. sampling
B. auction
C. hire purchase
D. credit sales

41. ________ is a system of deferred payment whereby the goods do not become the property of the buyer until the last installment is paid
A. cash sales
B. auction sales
C. credit sales
D. hire purchase

42. Wrapper, textiles rice, beverages, bitter leaf could be sold through ________
A. delivered payment
B. sampling
C. auction sales
D. hire purchase

43. The turnover of a retailer is N60,000 while the return inward is N2,500 find the total sales of the business
A. N50,000             B. N57,500
C. N61,600             D. N51,250

44. The two major forms of credit sales are ____________ and ____________
A. hire purchase and lease
B. credit sales and brokerage
C. lease and case
D. case and credit sales

45. ____________ is a document issued by the buyer to the seller
A. sales document
B. purchase document
C. catalogue
D. blue form

46. When payment is made in full at the time of sales, such transaction is ____________
A. selling price
B. hire purchase
C. cash sales
D. credit sales

47. Any place where buyers and sellers come into contact to buy and sell goods and services and use money as a medium of exchange is called ____________
A. farm                B. school
C. market            D. office

48. The two main division of trade are ____________ and ____________
A. regular retailer and retailer
B. export and import
C. foreign trade and home trade
D. foreigners and retailer

49. The two parties involved in foreign trade are ____________ and ____________
A. wholesaler and retailer
B. export and import
C. home and import trade
D. exporter and importer

50. The seller sends ____________ in reply to letter of enquiry
A. invoice
B. pro-forma invoice
C. quotation
D. delivery note

51. ____________ helps the individuals and traders to safe guard their money and valuables
A. tourism             B. banking
C. insurance          D. communication

52. The document which shows the current prices of all the goods that the seller has in stock is called ____________
A. delivery note
B. mail order business
C. order
D. price list

53. Choose the sales document from the options below
A. quotation
B. bank statement
C. letter of enquiry
D. order

54. The estimated profit before the sale of goods is called ____________
A. net profit
B. gross profit
C. mark-up
D. dishonoured cheque

55. The opening stock of B.G. Wilson & Co. is N100,000 while the closing stock is N1m. Calculate the average stock
A. N550,000         B. N55,000
C. N105,000         D. N45,000

56. Taxes paid on imported goods is called ____________
A. owner duty
B. customer duty
C. beneficiary duty
D. exercise duty

57. A short term credit facility granted by the bank to an account holder that enables him withdraw more than he has deposited with the bank is called ____________
A. overdraft         B. allowance
C. loan                 D. over credit

58. A cheque which the bank refuses to pay is called
A. post-dated cheque
B. unpaid cheque
C. dishonoured cheque
D. stale cheque

59. ____________ is a document sent by the seller to the buyer that shows all the credits and debits to the account together with the balance now paid
A. delivery note
B. receipt
C. invoice
D. statement of account

60. The correspondence book used to know the number of letters posted and number of stamps used is called ____________
A. despatch book
B. postage book
C. cash book
D. sales day book

61. The officer who sorts out incoming mail is called ____________
A. receptionist
B. mail clerk
C. messenger
D. managing director

62. An arrangement by which employee is made to set aside part of his monthly salary while he is still working to be used after his retirement is called ____________
A. optical
B. national health insurance scheme
C. burglary insurance
D. pension insurance scheme

63. The rate of turnover of a business is determined by ____________
A. cost of goods sold divided by sales
B. average stock minus cost of sales
C. cost of goods sold divided by average stock
D. administrative expenses minus profit

64. In home trade, the ____________ and ____________ basically do distribution of goods
A. trader and manufacturer
B. wholesaler and retailer
C. manufacturer and consumer
D. consumer and retailer

65. In big companies, correspondence are handled by a special clerk called ____________
A. receptionist           B. document clerk
C. mail clerk              D. accountant

66. The book which helps the receptionist locate the names and address of telephone owners is called ____________
A. telephone directory
B. telephone book
C. telephone list
D. appointment list

67. The companies that send out large volume of letters daily use mail room equipment called ____________ to stamps envelopes
A. postal mark machine
B. invoice stamper
C. franking machine
D. stamp pad machine

68. ____________ is the distributor between the manufacturer and the retailer in the chain of distribution
A. consumer            B. wholesaler
C. manufacturer      D. broker

69. A type of insurance policy that covers losses arising from transportation is called ____________
A. burglary
B. marine insurance
C. accident insurance
D. fidelity guarantee insurance

70. ____________ insurance policy is taken against losses through the sea/water
A. marine insurance
B. burglary
C. fidelity guarantee
D. fire insurance

71. The first person in the channel of distribution is called ____________
A. manufacturer       B. retailer
C. wholesaler           D. consumer

72. ____________ is a type of warehouse
A. original warehouse
B. internal warehouse
C. bright warehouse
D. bonded warehouse

73. A person who does auction sales is called
A. seller             B. auctioneer
C. trader            D. government

74. Some of the consonant in Pitman shorthand are
A. special consonants
B. double consonants
C. triple consonants
D. general consonants

75. In pitman shorthand, there are ____________ consonants
A. five          B. twenty-four
C. thirty       D. six

76. The quality of receptionist is ____________
A. rude to visitors
B. rejecting callers
C. sitting down to look at callers
D. a pleasant manner

77. A delivery note contains the following EXCEPT ____________
A. date
B. price
C. quality of goods
D. order number

78. When the buyer receives quotation from the seller, he prepares ____________ requesting for the purchase of goods and services
A. invoice
B. letter of enquiry
C. delivery note
D. order

79. The seller records his daily sales in a book called ____________
A. price list
B. delivery note
C. cash register
D. statement of account

80. ____________ is a duty of receptionist
A. smiling at visitors
B. answering telephone call
C. supporting callers
D. bringing chairs

SECTION B: Essay

INSTRUCTION – Answer all questions in this section.

1. As a sole proprietor of Bright & Jones, Cell of 45 Akinnoye street, Lagos, write a letter of enquiry to premier publishing co., Itd of 125 robinson close Uwani Enugu, asking whether the company has 1,250 copies of daily news newspapers for supply

2. A. Define health insurance scheme
B. State the meaning of pension insurance scheme
C. List and explain three (3) functions of wholesaler to the manufacturer
D. List at least five (5) valuables that can be kept in the bank for safety

3. A. Define commercial bank and list five (5) services of commercial bank
B. Mention at least two ethical issues in banking

4. A. State the meaning of the following: (I) Needs (II) Wants
B. What is the main difference between needs and wants?
C. Mention the similarity and difference between profit and mark – up

5. Write briefly on the following:
A. R/D written at the back of dishonoured cheque
B. Mortgage bank
C. Industrial development bank

Answers to JSS2 Second Term Exam Questions on Business Education (From SSIA)

Answers to Section A (Objective Test)

The following table gives the correct answers to the objective section of JSS2 second term exam questions on Business Education. If you are using a mobile device, hold the table and scroll to the right or left for a complete view.

So here you have the answers to the objective section of JSS2 second term exam questions on Business Education. Use the comments section to let me know if you have any questions you would want me to clarify or discuss further.

Answers to Section B

Answer to Question 1:

Letter of Enquiry

Bright & Jones Cell,
45 Akinnoye Street,
Lagos.

April 29, 2025.

The Manager,
Premier Publishing Co. Ltd,
125 Robinson Close,
Uwani, Enugu.

Dear Sir/Madam,

Request for Supply of Newspapers

I am writing to enquire whether your company has available 1,250 copies of the Daily News newspapers for supply to our office.

If available, kindly inform us of the cost per copy, mode of payment, and expected date of delivery. We look forward to your prompt response so that we can proceed with the order.

Thank you.

Yours faithfully,
Bright & Jones
Sole Proprietor

Answer to Question 2:

A. Definition of Health Insurance Scheme:
Health insurance scheme is a system where individuals pay premiums to an insurer in order to cover the cost of medical care in the event of illness or injury.

B. Meaning of Pension Insurance Scheme:
Pension insurance scheme is a retirement plan where employees and/or employers contribute to a fund that provides regular income to the employee after retirement.

C. Three Functions of Wholesaler to the Manufacturer:

1. Bulk Purchase: The wholesaler buys goods in large quantities from the manufacturer.
2. Storage: The wholesaler stores goods until they are needed by retailers, reducing the storage burden for the manufacturer.
3. Distribution: The wholesaler helps to distribute goods to various retailers, making the products accessible in different areas.

D. Five Valuables That Can Be Kept in the Bank for Safety:

• Cash
• Gold and jewelry
• Important documents (e.g., certificates, deeds)
• Wills
• Title deeds

Answer to Question 3:

A. Definition of Commercial Bank:
A commercial bank is a financial institution that accepts deposits from the public and provides loans, as well as other financial services, for profit.

Five Services of Commercial Bank:

• Accepting deposits
• Providing loans and overdrafts
• Money transfer services
• Foreign exchange transactions
• Issuance of cheque books and debit cards

B. Two Ethical Issues in Banking:

• Customer confidentiality
• Transparency and honesty in financial dealings

Answer to Question 4:

A. Meaning of the Following:

(I) Needs: Needs are basic requirements necessary for survival, such as food, water, and shelter.

(II) Wants: Wants are things that people desire to have, but are not essential for survival, such as designer clothes and luxury items.

B. Main Difference Between Needs and Wants:
Needs are essential for living, while wants are for comfort and luxury.

C. Similarity and Difference Between Profit and Mark-up:

• Similarity: Both represent the financial gain made on goods sold.
• Difference: Profit is the gain made after subtracting all expenses from sales, while mark-up is the percentage added to the cost price to determine the selling price.

Answer to Question 5:

A. R/D Written at the Back of Dishonoured Cheque:
R/D means “Refer to Drawer.” It indicates that the bank could not honour the cheque and the drawer should be contacted for clarification or resolution.

B. Mortgage Bank:
A mortgage bank is a financial institution that specializes in providing loans for purchasing real estate properties, usually requiring collateral.

C. Industrial Development Bank:
An industrial development bank is a financial institution that provides long-term loans and credit facilities to businesses and industries for development and expansion purposes.

It’s a wrap!

If you need more clarification on JSS2 Second Term Questions on Business Education, you can use the comments box below. We’ll be there to answer you asap.