Business Studies Exam Questions for JSS2 Third Term

You’re welcome to our school exams series where we provide you with termly examination questions in different subjects. In today’s post, we will focus on Business Studies exam questions. We will cover Business Studies exam questions for JSS2 Third term with answers. This means that we’ll be providing you with answers to the questions at the end. Also, you will get a few success tips on how to pass Business Studies examinations with flying colors. 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)

Introduction to Business Studies as a School Subject

Business Studies is a subject taught in junior secondary schools that introduces students to the basic principles of business and commerce. It helps students understand how businesses operate, the importance of money, and how to manage resources effectively.

The subject covers topics like trade, banking, office procedures, entrepreneurship, and consumer education. It equips learners with knowledge and skills that are useful in everyday life and prepares them for future careers in business, accounting, marketing, and management.

By studying Business Studies, students develop a strong foundation for understanding the economic activities around them and learn the value of honesty, hard work, and wise financial decisions.

The subject is offered by students in junior secondary schools as Business Education.

Business Studies Exam Questions for JSS2 Third Term

Business Studies Exam Questions for JSS2 Third Term are divided into two 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 specific instruction and answer the required number of questions.

Note that what you have below are JSS2 Business Studies Third Term Exam Past Questions made available to assist students in their revision for 3rd term examinations and also teachers in structuring standard examinations.

SECTION A: Objectives [26 MARKS]

Instruction: Answer all questions in this section by choosing from the options lettered A—D. Each question carries equal marks.

1. The function of the receptionist is _________.
(a) discussing with the visitors
(b) giving food to the visitors
(c) accepting money from the customers
(d) maintaining record of visitors.

2. Pitman shorthand provides a way of representing every _________ heard in English language
(a) noise          (b) sound
(c) sight           (d) figure

3. To achieve perfection in shorthand writing and reading, one has to do _________.
(a) lazy study
(b) constant practice
(c) constant sitting down in the classroom
(d) special laziness

4. _________ is used for writing shorthand
(a) HB pencil or 2b pencil
(b) 2b pencil or black pen
(c) blue pen or eraser
(d) green pen or long–handled brush

5. The method of filing, involving arrangement of documents alphabetically is called _________.
(a) department filing
(b) centralized filing
(c) alphabetical filing
(d) numerical filing

6. _________ is used for recording the number of stamps and the numbers of letters posted.
(a) stationary book
(b) postage book
(c) petty cash book
(d) journal

7. _________ is the example of incoming letters and parcels received by an organization
(a) business
(b) general mail
(c) P.O box
(d) inward correspondence

8. _________ is the recommended dress that could be worn for casual visits in the evenings or when strolling the street for fresh air on weekends.
(a) professional wear
(b) official dress
(c) casual wear
(d) weekend wears

9. In big companies, correspondences are handled by a clerk called _________.
(a) receptionist
(b) accounts clerk
(c) mail clerk
(d) accountant

10. _________ is a document sent by the seller to the buyer that shows all the debits and credits to the account together with balance not paid
(a) delivery note
(b) invoice
(c) receipt
(d) statement of account

11. Goods not sold for immediate cash is known as _________.
(a) discount        (b) credit
(c) debit              (d) commission

12. Home trade is divided into _________ and _________.
(a) general, retail and export –trade
(b) intellectual social and common trade
(c) home friendly and international trade
(d) whole sale, retail and hawking trade

13. The machine used to fold outgoing mail in an organization is called _________.
(a) folding system machine
(b) folding stamp
(c) engineering machine
(d) folding machine

14. The companies that send out large volume of letters daily can use mail room equipment called _________.
(a) stamp envelopes
(a) postal mark machine
(b) invoice stamp machine
(c) franking machine
(d) stamp pad machine

15. Which of these is not a sales document?
(a) price list
(b) letter of enquiry
(c) quotation
(c) delivery note

16. The sales document that gives the buyer an idea of the price of goods and notifies the buyer that the goods are on transit is _________.
(a) an invoice
(b) receipt
(c) pro–forma invoice
(d) cash book

17. The book which helps the receptionist to find the names and address of telephone owners is called _________.
(a) telephone directory
(b) telephone book
(c) telephone list
(d) appointment list

18. A book in form of a magazine which shows pictures of the goods produced by the company as well as the brand name, identification number and price at a particular time is called _________.
(a) invoice
(b) receipt
(c) statement blank
(c) catalogue

19. _________ is a document used by the personnel manager to write the summary of the main issue of the letter that concern all the department – (HOD).
(a). Letter of enquiry
(b) memorandum
(c) invoice
(d) order

20. When handling incoming mails _________ should not be opened.
(a) publication
(b) letters marked urgent
(c) all categories of letters
(d) letters marked confidential

21. A person who does auction sales is called _________.
(a) seller
(b) trader
(c) auctioneer
(d) government representative

22. The officer who sorts out incoming mails is called _________.
(a) a receptionist
(b) mail clerk
(c) messenger
(d) managing director

23. The documents which shows the current price of all goods that the seller has in stock is called _________.
(a) quotation
(b) invoice
(c) delivery note
(d) price list

24. The book where receptionist records daily events is called _________.
(a) diary
(b) directory
(c) visitors book
(d) visitors slip

25. Correspondence simply means _________.
(a) accounts book
(b) stationeries
(c) letters and parcels
(d) letters

26. _________ is one of the features of market
(a) absence of buyers and sellers
(b) existence of buyers and sellers
(c) no commodities or service to buy
(d) sellers may not form association to achieve monopoly

27. _________ helps traders and individuals to safe guard their valuables
(a) tourism        (b) insurance
(c) banking        (d) communication

28. _________ can be called domestic or internal tourism
(a) outbound tourism
(b) general tourism
(c) Inbound tourism
(d) bright- tourism

29. The full meaning of the abbreviation P.M.B is _________.
(a) private mail bag
(b) private mail basin
(c) postal mail bag
(d) postal mail box

30. _________ is an importance of trade.
(a) It provides employment to the people
(b) it makes a person to love goods and services
(c) it causes information to stop
(d) nearness

Use the information below to answer question numbers 31-37.

31. The above is the format/ layout of _________
(a) sales day book
(b) purchases journal
(c) ledger
(d) debit note

32. The left hand side of the above is called _________ side.
(a) credit          (b) debit
(c) bright          (d) transformation

33. The right hand side of the above is called _________ side
(a) debit          (b) credit
(c) bright         (d) transformation

34. The full meaning of JF is _________
(a) journey face
(b) journal folio
(c) journal figure
(d) journal form

35. All the money received are recorded on the _________ side of the above.
(a) debit
(b) credit
(c) transformation
(d) bright

36. All the cash Payment are recorded on the _________ side of the above
(a) credit
(b) debit
(c) general
(d) transformation

37. The particulars column is designed for recording the _________ of business transaction.
(a) details           (b) summary
(c) analysis         (d) sundry

38. Translate the shorthand outline below in long hand

39. In capital market, a big company like _________ obtains additional capital from the public by selling its shares.
(a) Central bank of Nigeria
(b) Insurance firms
(c) United bank for agric and engineering association company

40. For your shorthand practice, use _________.
(a) shorthand drill book
(b) desk diary
(c) shorthand available book
(d) bright book

41. Which of these is not permitted to be worn to office?
(a) Well–sown appropriate office dress
(b) Mended shoes
(c) Neat hand bag
(d) Short–tight skirts and shirts that Exposes the tummy and thigh

42. The visitor who is not on appointment but comes into the organization for an important matter is called _________.
(a) casual visitor
(b) visitor on appointment
(c) emergency visitor
(d) general visitor

Use the information below to answer questions from numbers 43 – 46

A retailer bought the following goods:
10 cartons of vegetable oil @ N6,000 each.
5 bags of beans @ N5,000 a bag.
6 crates of 7up drinks @N4,000 a crate.
4 cartons of 80 leaves exercise book @ N5,000 each.
The mark up is 5% of the total cost of goods sold.

Questions:

Calculate:

43. The cost of goods sold
(a) N140,000         (b) N129,000
(c) N55,000           (d) N150,00

44. Mark up
(a) N10, 450        (b) N7, 600
(c) N6, 450          (d) N12, 500

45. Turnover
(a) N160,000         (b) 135,450
(c) N125,200         (d) N132. 650

46. Gross profit
(a) N7,450          (b) N6,450
(c) N9,650          (d) N15,250

47. ⊄ written by the side of an item posted in the ledger signifies _________.
(a) cottie entry
(b) control entry
(c) correction entry
(d) contra entry

48. Vowels are placed in _________ places before and after a consonant stroke.
(a) two           (b) three
(c) five           (d) seven

49. A system of keeping petty cash book whereby a specified amount known as float is left with the petty cashier for petty expenses is called _________.
(a) cash system
(b) debit system
(c) imprest system
(d) float system

50. The first person in the channel of distribution is _________
(a) retailer           (b) manufacturer
(c) consumer      (d) wholesaler

51. _________ is a contributory scheme meant for providing medical attention to the contributors such as an individual, an employee, the employer and the government in Nigeria.
(a) fire insurance
(b) burglary insurance
(c) national health insurance scheme
(d) voyage charter

52. _________ is whereby an employee saves part of his monthly salary during the period of employment which will be used by him after he retires from services.
(a) health insurance scheme
(b) motor vehicle insurance
(c) agricultural insurance
(d) pension scheme

53. International trade involves two parties _________ and _________
(a) importer and exporter
(b) wholesaler and retailer
(c) manufacturer and consumer
(d) importer and wholesaler

54. In _________ form of sales, if the buyer fails to pay, the seller can only recover his money and not the goods
(a) cash sales
(b) credit sales
(c) hire purchase
(d) auction sales

55. The document that shows particulars of people that visits the organization is called _________
(a) diary
(b) visitors book
(c) visitors ship
(d) directory

56. The number of times an average stock is sold in a given period is known as _________
(a) opening stock
(b) cost of goods sold
(c) closing stock
(d) rate of turnover

57. Small movable structure used by retailers to sell petty goods is called _________
(a) shop            (b) kiosk
(c) stall             (d) barrow

58. A trader who carries petty goods for sale from one place to another is called _________
(a) a hawker          (b) wholesaler
(c) consumer         (d) landlord

59. Buying and selling through the post offices is called _________
(a) postage
(b) mail order business
(c) retail co–operatives
(d) self service store

60. _________ is a large retail outlets made up of many shops under one roof.
(a) super market
(b) stall
(c) multiple shop
(d) departmental store

61. The person who presents cheque for payment to the bank is called _________
(a) the receiver
(b) the payer
(c) the drawee
(d) the payee

62. _________ is one of the insurance companies I know.
(a) Universal insurance company
(b) basic insurance company
(c) social development insurance company
(d) family insurances consolidated company

63. _________ 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) hire purchase
(d) selling by inspection

64. _________ is a document issued by the seller to the buyer as an evidence that cash has been received from the buyer for goods bought or services enjoyed
(a) price list
(b) invoice
(c) delivery note
(d) receipt

65. _________ is one of the roles of customs and excise in foreign trade.
(a) controlling the rate of certain imported goods
(b) agricultural development
(c) buying and selling of goods and services
(d) inspecting car owners

66. When payment for goods is made on the spot, the seller gives _________ to the buyer.
(a) a cash sales invoice
(b) credit sales invoice
(c) payment voucher
(d) right of sales

67. _________ is the price at which the commodity produced is sold.
(a) cost price
(b) purchase price
(c) profit margin
(d) selling price

68. The amount of resources in the production of goods and services is called _________
(a) cost of labour
(b) cost of materials
(c) cost of services
(d) cost of production

69. A cheque which bank refuses to pay is called _________
(a) state cheque
(b) post –dated cheque
(c) dishonored cheque
(d) unpaid cheque

70. A cheque which bank refuses to honour because it has been issued for more than six months is called _________.
(a) stale cheque
(b) post-dated cheque
(c) dishonoured cheque
(d) over stayed cheque

71. The formula for calculating the mark up is _________
(a) percentage mark up x selling price
(b) percentage mark up x cost- price
(c) selling price + cost -price
(d) profit x cost of goods

72. The net profit of the producer is calculated by this formula:
(a) gross profit minus administrative expenses
(b) gross profit minus mark up
(c) gross profit minus cost of sales
(d) turnover minus profit

73. A cheque which is to be paid at a future date is called _________
(a) state cheque
(b) post –dated cheque
(c) dishonoured cheque
(d) future cheque

74. The body created by federal government for the purpose of collecting taxes on imported goods and locally manufactured goods is called _________
(a) warehouse authority
(b) customs and excise department
(c) ministry of agriculture
(d) federal ministry of finance

75. Taxes paid on imported goods is called _________
(a) excise duty
(b) import duty
(c) delivery duty
(d) transport fare excise duty

76. One of these is the benefit derived from imposition of taxes on imported goods
(a) protection of indigenous manufacturers of similar goods
(b) To control rate of export of certain goods
(c) To raise the cost of locally manufactured goods
(d) To control gluttonous individuals

77. _________ is a specialized market where securities such as stocks, shares and debentures are bought and sold.
(a) Primary market
(b) commodity market
(c) money market
(d) capital market

78. One of the firms that acts as the pension fund manager that removes the monopoly of administration of pension scheme from the government controlled national providence fund and Nigerian social insurance Trust fund is _________
(a) agricultural insurance fund
(b) marine insurance scheme
(c) stanbic IBTC pension manager
(d) National insurance pension manager

SECTION B: Essay [34 MARKS]

INSTRUCTION – Answer all five (5) questions in this section.

1. (a) Define insurance [1mk] (b) mention Two objectives of health insurance scheme. [1mk] (c) list and explain Two insurance policies you know. [2mks] (d) outline and explain two concepts/term of insurance [2mks]

2. Define central bank and list five functions of central bank of any country you know. [6mks]

3. (a) Define vowel and write two sentences in which long vowels and short vowels are contained. [3 ½mks ] (b) Translate the long hand below in short hand. [2 ½mks ] May, cape, shame, came, bath.

4. (a) State the meaning of receptionist [2mks] (b) mention and explain at least four documents handled by the receptionist. [4mks ]

5. Enter the transaction below in the three column cash book of Graham & smith Company limited as at December 31, 2014.

[10mks]

Read Also: Civic Education Exam Questions for JSS2 Third Term

Answers to Business Studies Exam Questions for JSS2 Third Term

Answers to Section A (Objective Test)

The following table gives the correct answers to the objective section of Business Studies exam questions for JSS2 Third term. 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 Business Studies Exam Questions for JSS2 Third term. 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 (Theory)

1. (a) Define insurance

Insurance is a contract between two parties — the insurer and the insured — in which the insurer promises to compensate the insured for specific potential future losses in exchange for a periodic payment known as a premium.

1. (b) Mention Two objectives of health insurance scheme

• To provide access to quality healthcare services at an affordable cost.
• To reduce the financial burden on individuals and families during medical emergencies.

1. (c) List and explain Two insurance policies you know

• Life Insurance: A policy that pays a lump sum to beneficiaries when the insured person dies.
• Motor Insurance: Covers damages or losses to a vehicle and liability to third parties in case of an accident.

1. (d) Outline and explain two concepts/terms of insurance

• Premium: The amount of money the insured pays to the insurance company for coverage.
• Policy: The legal document that outlines the terms and conditions of the insurance agreement.

2. Define central bank and list five functions of central bank of any country you know

The central bank is the financial institution that manages a nation’s currency, money supply, and interest rates. It also regulates and supervises the banking industry.

• Issuance of currency
• Regulation of commercial banks
• Control of inflation and interest rates
• Management of the country’s foreign reserves
• Acts as a banker to the government

3. (a) Define vowel and write two sentences in which long vowels and short vowels are contained

A vowel is a speech sound made without any significant constriction or closure in the vocal tract and is one of the basic building blocks of words.

• Long vowel: He made a cake for Jane.
• Short vowel: The cat sat on the mat.

3. (b) Translate the long hand below in short hand

Longhand: May, cape, shame, came, bath

Shorthand (Pitman style):

4. (a) State the meaning of receptionist

A receptionist is a person employed in an office or organization to receive and attend to visitors, answer phone calls, and perform other front desk duties.

4. (b) Mention and explain at least four documents handled by the receptionist

• Visitor’s Register: Used to record the names, time of visit, and purpose of each visitor.
• Appointment Book: Used to schedule meetings and appointments for staff and management.
• Telephone Message Pad: Used to record messages received via telephone for other staff members.
• Mail Register: Used to log incoming and outgoing mails and parcels.

How to Pass Business Studies Exam Questions for JSS2 Third Term

Passing your Business Studies exam questions for JSS2 Third term requires a combination of preparation, understanding, and strategy. Here are actionable tips to help you excel:

1. Know Your Topics
Focus on key areas like:
– Insurance
– Central Bank and its functions
– Office procedures (e.g. receptionist duties)
– Trade, transportation, and communication
– Simple economics and business terms

2. Study Past Questions
Go through past exam questions to understand the question format and common topics. Practice writing full answers for essay-type questions.

3. Understand Definitions and Functions
Don’t cram. Make sure you understand the meaning and functions of concepts like insurance, central bank, receptionist, etc. That way, you can explain them in your own words.

4. Make Notes and Flashcards
Summarize each topic using short notes or flashcards. This helps with quick revision before the exam.

5. Practice Spelling and Sentence Construction
Since some questions may involve writing definitions, documents, or letters, ensure your English is clear and well-organized.

6. Time Yourself During Practice
Practice answering questions within the time allowed in your exam. This helps you manage time and avoid rushing during the test.

7. Ask for Clarification
If you don’t understand any topic, ask your teacher or a classmate. You can even join online study groups to discuss tough topics.

It’s a wrap!

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

Best wishes.