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Grade 12 Commerce Assessment 1

Total questions: 61

Worksheet time: 36mins

Name
Class
Date
1.

People who are part owners of a company are known as...

a)

Stakeholders

b)

Shareholders

c)

Customers

d)

People

2.

Someone who starts, operates and assumes the risk of a business is known as an...

a)

Investor

b)

Interest person

c)

Entrepreneur

d)

Business inventor

3.

A business that is owned and operated by a single person is known as a...

a)

Partnership

b)

Sole trader

c)

Private company

d)

Public company

4.

Select 2 right answers.

Business: an organization or economic system where _____ and _______ are exchanged for one another or for money.

a)

Goods

b)

Words

c)

Services

d)

Sales

5.
Which of the following is the definition for sole proprietorship
a)
business investment that involves renting or leasing another successful business model
b)
unincorporated business owned and run by a single person who has rights to all profits and unlimited liability for all debts of the firm; most common form of business organization in the United States
c)
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
d)
form of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, and to sue and be sued
6.

Which are the best examples of assets?

a)

motor vehicle, creditors, fixtures and fittings, cash in the bank

b)

Accrued expenses, inventory, debtors

c)

motor vehicle, inventory, fixtures and fittings

d)

motor vehicle, debtors, fixtures and fittings, overdraft

7.

2.Financial market facilities business firms

a)

To rise funds

b)

To recruit workers

c)

To make more sales

d)

To minimize funds requirement

8.

5.__________is an institution or arrangement that facilitates the exchange of financial instruments.

a)

Financial market

b)

Capital market

c)

Organised sector

d)

Unorganised sector

9.

Which of the following definition describes collecting data about a brand and the markets

a)

Target Market

b)

Market Research

c)

Segmentation

d)

Branding

10.

Which TWO brands listed are DIRECT competitors

a)

Amazon & Walmart

b)

Lowes & Home Depot

c)

Wayfair & Sam's

d)

Amazon & Home Depot

11.

If you decide to buy a shirt, but you can't find your SIZE, which part of the 4P's has failed?

a)

Place

b)

Product

c)

Price

d)

Promotion

12.

A Target Market is a the specific group of people that a brand focuses on when promoting

a)

True

b)

False

13.

Effective advertisng uses various types of persuasion

a)

True

b)

Never

c)

False

d)

When approved

14.
The Marketing Mix includes which 4 components?
a)
Product, Price, Place, Promotion
b)
Place, Pattern, Promotion, Pizazz 
c)
Point of View, Place, Pattern, Premium
d)
Promotion, Pattern, Premium, Product
15.

Advertising is part of the marketing function called

a)

distribution

b)

financing

c)

promotion

d)

selling

16.

The exclusive legal right, given to an originator or an assignee to print, publish, perform, film, or record literary, artistic, or musical material, and to authorize others to do the same.

a)

Infringement

b)

Copyright

c)

Advertising Agency

d)

Logo

17.

Which of the following best describes market segmentation?

a)

Dividing a large market into a smaller groups based on similarities

b)

Selling goods for less than their production cost to maximize sales

c)

Maintaining long-term ties with customers to encourage repeat sales

d)

Selling products over the internet

18.

Which of the following is NOT a factor of production?

a)

land

b)

labour

c)

entrepreneur

d)

capital

e)

Risk

19.

The organization which often provides health care, education, policing, fire service and environmental services is called.......

a)

private enterprises

b)

social enterprises

c)

public enterprise

d)

none of the above

20.

An individual or group that has an interest in the operation of a business is called......

a)

owner

b)

stakeholder

c)

customer

d)

financier

21.

Which of these is designed to satisfy a need?

a)

potato crisps

b)

cricket bat

c)

bread

d)

smartphone

22.

Human wants are infinite. True or False?

a)

True

b)

False

23.

One disadvantage of partnerships is

a)

easy to set up

b)

any partner's decision is legally binding

c)

shared responsibility

d)

Partners can specialise in their area of expertise

e)

none of the above

24.

A business structure in which a business allows another operator to trade under their name is called (a)  

25.

Limited liability shareholders are not legally responsible for the debts of a company according to how many shares they own. True or false?

a)

true

b)

false

26.

The tag or term 'PLC' is usually associated with which type of business organization?

(a)  

27.

The process of transferring public sector resources to the private sector is called...

(a)  

28.

Which of the following is a feature of a public corporation/

a)

it s owned by the board of directors

b)

it is funded by the government

c)

it aims to maximize profits

d)

it is not accountable to anyone

29.

You are unable to work for three months and need help paying your expenses while you’re out of work.

a)

Health Insurance

b)

Disability Insurance

c)

Long-Term Care Insurance

d)

Renters Insurance (Liability or Property)

e)

Homeowners Insurance (Liability or Property)

30.

You are having a baby and need medical care.

a)

Health Insurance

b)

Disability Insurance

c)

Long-Term Care Insurance

d)

Renters Insurance (Liability or Property)

e)

Homeowners Insurance (Liability or Property)

31.

You lose control of your car and it rolls. Your car can’t be repaired, so you need to purchase a new car.

a)

Health Insurance

b)

Disability Insurance

c)

Life Insurance

d)

Automobile Insurance (Liability or Property)

e)

Homeowners Insurance (Liability or Property)

32.

The house you own is destroyed by a tornado and you need to rebuild.

a)

Health Insurance

b)

Disability Insurance

c)

Life Insurance

d)

Automobile Insurance (Liability or Property)

e)

Homeowners Insurance (Liability or Property)

33.

The total cost of buying insurance, usually per year

a)

Premium

b)

coverage

c)

deductible

d)

policy

34.

What is the main purpose of insurance?

a)

to follow the law

b)

to get weathly

c)

For investment purposes

d)

To reduce risk

35.

This type of insurance should pay for damages if a tree that goes through your roof.

a)

Product

b)

Health

c)

Homeowners

d)

Life

36.

The people who need this the most generally have kids, and always have someone relying on their income

a)

Product Insurance

b)

Auto insurance

c)

Life Insurance

d)

Health insurance

37.

Another name for this type of insurance is a warranty

a)

Product insurance

b)

Health insurance

c)

Life Insurance

d)

Home Insurance

38.

When applying for insurance you must fill out a ...

a)

Claim Form

b)

Proposal Form

c)

Application Form

39.

Utmost Good Faith means..

a)

That you must tell half of the truth when applying for insurance.

b)

That you must be honest about all material facts when applying for insurance.

c)

Make up all of the material facts on your application form.

40.

Insurable Interest means...

a)

You can only insure something that you own and will suffer financially from its loss.

b)

You can insure your neighbours home.

c)

You can insure anything you want.

41.

What type of account holds money that is guaranteed for a specific rate of interest for a specified amount of time?

a)

Certificate of deposit

b)

Line of credit

c)

Checking

d)

Savings

42.

John has misplaced his debit card, but needs to mail a payment for his electricity bill. What other form of payment can he use?

a)

Check

b)

ATM card

c)

Credit card

d)

Debit card

43.

What type of account holds money that a customer does not plan to spend immediately?

a)

Money market

b)

Savings

c)

Line of credit

d)

Checking

44.

What type of account is used regularly and handles day-to-day transactions?

a)

Money market

b)

Savings

c)

Line of credit

d)

Checking

45.

Which type of account is also a type of loan, which the customer has access to for a set amount of time?

a)

Money market

b)

Line of credit

c)

Checking

d)

Savings

46.

This financial institution helps everyday customers and small businesses with everyday transactions.

a)

Online bank

b)

Commercial bank

c)

Credit union

47.

If Ryan purchases a sandwich, he is using money as:

a)

a medium of exchange

b)

a unit of measure

c)

a store of value

48.

What is interest?

a)

A fee paid to use someone else's money

b)

A fee paid to save someone else's money

c)

A fee paid to give away someone else's money

d)

A fee paid to invest someone else's money

49.

What are the two primary functions of a bank?

a)

Granting loans and issuing money orders

b)

Accepting deposits and granting loans

c)

Handling foreign currency exchange and issuing traveler's checks

d)

Accepting deposits an issuing certified checks

50.

Which of these is NOT a purpose of the Federal Reserve System (the central bank)?

a)

Implement policies concerning the availability of money and its cost

b)

Supervise all banks

c)

Provide financial services to other banks

d)

Provide day to day financial assistance to customers and small businesses

51.

Something physical to back a loan like a house or property is called what?

a)

Line of Credit

b)

Savings

c)

Collateral

d)

Checking

52.

Explain the term distribution.

a)

The action of making or manufacturing from components or raw materials, or the process of being so manufactured.

b)

A person who sets up a business or businesses, taking on financial risks in the hope of profit.

c)

Distribution refers to storing and moving products to the customers, often through intermediaries such as wholesalers and retailers, and it also includes transportation, which involves the physical movement of goods.

d)

To treat or work out in often laborious detail labor the obvious

53.

Explain the term, channel of distribution.

a)

The action or fact of maintaining or supporting oneself, especially at a minimal level.

b)

A person or business that sells goods to the public in relatively small quantities for use or consumption rather than for resale.

c)

A distribution channel is a chain of businesses or intermediaries through which a good or service passes until it reaches the final buyer or the end consumer

d)

Retail is the process of selling consumer goods or services to customers through multiple channels of distribution to earn a profit.

54.

Who is a manufacturer or Producer?

a)

A person or company that makes goods for sale.

b)

A person or company that sells goods in large quantities at low prices, typically to retailers.

c)

Work, especially physical work.

d)

Is the movement of humans, animals and goods from one location to another.

55.

what is a wholesaler?

a)

A person or company that sells goods in large quantities at low prices, typically to retailers

b)

A person or business that sells goods to the public in relatively small quantities for use or consumption rather than for resale.

c)

A person who purchases goods and services for personal use.

d)

A person or company that transports or receives goods by sea, land, or air.

56.

what is retailing?

a)

A film producer is a person who oversees film production. Either employed by a production company or working independently, producers plan and coordinate various aspects of film production, such as selecting the script; coordinating writing, directing, and editing; and arranging financing.

b)

Retail is the process of selling consumer goods or services to customers through multiple channels of distribution to earn a profit.

c)

A thing or person that is the result of an action or process

d)

A wholesaler is essentially a middleman between a manufacturer and a retail establishment. Wholesalers obtain large quantities of products at a lower price

57.

what is a consumer?

a)

A person or company that transports or receives goods by sea, land, or air.

b)

A person that consumes food.

c)

A person or company that sells goods in large quantities at low prices, typically to retailers.

d)

A person who purchases goods and services for personal use..

58.
How much  a producer is prepared to make is referred to as 
a)
Supply
b)
Demand
c)
Popularity
d)
Price
59.

E-commerce is a latest technology related with

a)

Commerce

b)

Computer

c)

Both Commerce and computer

d)

buying and selling

60.

Indemnity means

a)

Share the loss

b)

Increase the loss

c)

Compensate the loss

61.

If Ryan purchases a sandwich, he is using money as:

a)

a medium of exchange

b)

a unit of measure

c)

a store of value