Commerce MCQ

The diagram shows the stages of production. What is X?

• direct services

• exhaustive industries

• manufacturing

• non-exhaustive industries

What is the advantage to a factory owner of using specialisation?

• greater craftsmanship

• increased use of machinery

• more workers required

• workers dependent on one another

What is meant by commerce?

• buying and selling of goods and services between two or more countries

• distribution of goods and services to those who need them

• making something known to the public through using media

• production of goods and services to satisfy human wants and needs

An example of the interdependence between industry and direct services is

• a construction company advertising its range of charges.

• a drilling company taking out employer’s liability insurance for its workers.

• a manufacturer making medical equipment for doctors.

• a wholesaler raising finance from a bank.

Which service is carried out by the retailer to help both the customer and the manufacturer?

• displaying goods for sale

• having conveniently sited shops

• helping to clear goods from the factory

• offering informal credit

What is a feature of a department store and not of an e-shop?

• it accepts payments by credit card.

• it has an up-to-date website.

• it is located in a busy shopping centre.

• it offers refunds to customers.

The diagram shows four characteristics of large-scale retailers. Which characteristic suggests that their customers can expect to purchase branded products?

• A

• B

• C

• D

One of the advantages of ecommerce is that it enables small firms supplying a specialised market to increase their sales.

To which business would this be most likely to apply?

• a garage selling parts for classic cars

• a greengrocer selling local fresh produce

• a hairdresser whose customers are mainly senior citizens

• a tailor providing an alteration service

What is an advantage to a business of selling on credit?

• Capital in the business may have to be increased

• Less paperwork is required

• Payment by the buyer is guaranteed

• Sale of stock may increase

This label was displayed on a tablet computer in a store. How much more would the tablet computer cost if it was bought on hire purchase?

• $25

• $50

• $300

• $500