SECOND TERM, 2020/2021 CAT: BUSINESS STUDIES (GRADE 8)

A place where variety of products are made available for the purpose of buying and selling is called-------------

• bank

• capital market

• stock exchange

• market

Which of the following facilitates the supply of goods to the market?

• advertising

• banking

• communication

• transportation

The person that commits his financial resources to enjoy a product is called

• consumer

• marketer

• trader

• producer

Unlawful breaking into ones property with the intention of committing crime can be compensated under ----------------- insurance.

• burglary

• fire

• health

• vehicle

At the death of a policy holder, the next of kin will be paid --------------------

• agency fee

• brokerage

• commission

• sum assured

When Union bank allows Mr. Agada to withdraw more than his credit balance, he is said to be given a/an

• invoice

• loan

• overdraft

• statement of account

Which of the following instruments is traded in the money market?

• bonds

• debentures

• shares

• gilt-edged

On 1^st January 2020, M. Umar started business with #20,000 cash. What will be the double entry for this transaction?

• Cr capital, Dr cash account

• Dr capital, Cr U. Umar account

• Dr cash, Cr capital account

• Dr cash, Cr M. Umar account

In book keeping a double ruling across an amount column indicates that the work is -------------------

• complete and accurate

• not acceptable

• subject to editing

• to be continued

The amount given to customers for prompt payments of their account is called ------------------

• bonus

• commission

• discount allowed

• discount received