WorksheetsBUSINESS STUDIES XAMS JSS 2 1ST TERM 2025/2026
Total questions: 60
Worksheet time: 30mins
What is the main purpose of advertising?
To hide product information
To inform, persuade, and remind consumers
To increase production cost
To reduce competition
Which of the following is NOT a medium of advertising?
Television
Radio
Manual labor
Social media
Advertising helps trade by:
Increasing price of goods
Creating awareness and demand
Reducing quality of goods
Limiting distribution
A brand name on a product is an example of:
Persuasive advertising
Informative advertising
Branding strategy
Price fixing
Which of these is a disadvantage of advertising?
Higher consumer awareness
Increased cost of production
Improved product quality
Boosts sales
The term 'target audience' in advertising means:
Everyone in the country
A specific group of consumers the ad aims to reach
Only children
Only retailers
Communication in trade helps to:
Hide information from customers
Speed up delivery of goods
Exchange information between buyer and seller
Increase product price
Which of the following is NOT a modern method of communication in trade?
Fax
Telepathy
Effective communication ensures:
Misunderstandings
Trust and clarity between parties
Delayed delivery
Higher taxes
A bill of lading is a document used in:
Advertising
Shipping and transport communication
Banking
Insurance
Which of these is an internal communication channel in a business?
Customer feedback form
Notice board
Television ad
Social media post
Barriers to communication include:
Language differences
Clear messages
Fast internet speed
Proper documentation
Transportation helps trade by:
Increasing product cost
Moving goods from producer to consumer
Storing goods forever
Reducing demand
Which mode of transport is fastest for long-distance international trade?
Road
Rail
Air
Water
The term 'freight' refers to:
Goods being transported
The driver's salary
Advertising cost
Insurance premium
A container used in shipping helps:
Increase weight of goods
Protect goods and ease handling
Slow down delivery
Raise taxes
Which of the following is a disadvantage of road transport?
Flexibility
High risk of accidents and congestion
Low cost
Fastest for short distances
Intermodal transport means:
Using one mode only
Using two or more modes (e.g., rail + sea)
Transporting only locally
Transporting services only
Insurance protects businesses from:
Profit increase
Risks and uncertainties (loss, theft, damage)
Market competition
Advertising failures
Which of the following is NOT a principle of insurance?
Utmost good faith
Insurable interest
Indemnity
Profit maximization
Premium in insurance is:
The amount paid by the insurer to the insured
The amount paid by the insured to the insurer
Compensation for loss
Claim settlement
Marine insurance covers:
Goods transported by air
Goods transported by sea
Vehicles on road
Home appliances
If a business takes fire insurance, it protects against:
Floods
Theft
Fire damage
Market crash
The document given to the insured after paying a claim is called:
Policy
Proposal form
Claim form
Cover note
Banks help trade by:
Providing safe custody for money
Granting loans and credit facilities
Issuing insurance policies
Transporting goods
A letter of credit (LC) is used to:
Guarantee payment to the seller
Advertise a product
Store goods in a warehouse
Pay salaries
Which of the following is a type of bank account for businesses?
Savings account
Current account
Fixed deposit
Recurring deposit
Overdraft facility allows a business to:
Withdraw more money than it has in its account
Deposit extra cash
Earn interest on savings
Transfer money abroad
What does CIBN stand for?
Central Institute of Bankers Nigeria
Committee of Insurance and Banking Nigeria
Chartered Institute of Bankers of Nigeria
Council of International Business Nigeria
Which service helps importers and exporters exchange currencies?
Mortgage
Forex (Foreign Exchange)
Leasing
Factoring
Home trade is also called domestic trade and involves:
Trade within the country
Trade between continents
Trade only in Africa
Trade via sea only
Foreign trade is also called international trade and involves:
Buying and selling within a state
Exchange of goods between two countries
Local markets only
Barter system
Balance of trade is:
Difference between export and import values
Total value of exports only
Total value of imports only
Sum of export and import values
A country with more exports than imports has:
Trade deficit
Trade surplus
Balanced trade
No trade
Which document is used in foreign trade to request payment?
Invoice
Receipt
Bill of exchange
Delivery note
Tariff is a:
Tax on imported goods
Subsidy for exporters
Form of transport
Type of insurance
Production in commerce refers to:
Buying goods only
Creating goods or services for sale
Advertising goods
Transporting goods
Which of the following is a primary production activity?
Manufacturing cars
Mining minerals
Selling clothes
Banking
Value addition in production means:
Reducing cost of raw material
Increasing the usefulness or value of a product
Lowering quality
Ignoring consumer needs
Tertiary production involves:
Extracting raw materials
Manufacturing goods
Providing services (e.g., banking, education)
Growing crops
A factory is an example of:
Primary production
Secondary production
Tertiary production
No production
Division of labor improves production by:
Increasing confusion
Specialization and efficiency
Raising cost
Lowering quality
Consumer education helps people:
Spend more money recklessly
Make informed and responsible buying decisions
Ignore product quality
Avoid paying taxes
Which of the following is a consumer right?
Right to unsafe products
Right to information
Right to overcharge
Right to ignore warranties
Consumer responsibilities include:
Reading product labels
Buying without checking quality
Ignoring expiry dates
Throwing receipts away
Standardization marks (e.g., SON, NAFDAC) show:
Product is cheap
Product meets safety and quality standards
Product is imported
Product is free
If a product is faulty, the consumer can:
Throw it away silently
Request a refund or replacement
Ignore the problem
Pay extra for repair
Price fixing by sellers is:
Legal
Illegal and harms consumers
Encouraged by government
Normal practice
Warehousing helps trade by:
Destroying goods
Storing goods safely until needed
Increasing price of goods instantly
Transporting goods faster
Which of the following is a function of warehousing?
Immediate delivery to customers
Preserving and protecting goods
Manufacturing goods
Advertising products
Cold storage warehouses are used for_________
Books
Furniture
Machinery
Perishable goods (e.g., fruits, vaccines)
The term *“demurrage”* in warehousing refers to:____________
Storage cost for excess time
Transport cost
Insurance cost
Penalty for delay in clearing goods
Which document is issued by a warehouse confirming receipt of goods?
Bill of lading
Invoice
Delivery note
Warehouse receipt
Benefits of warehousing include:
Lowering taxes
Increasing production speed
Enabling price stabilization
Reducing inventory costs
An office performs which of the following functions?
Selling directly to consumers
Transporting goods
Production of goods
Recording, planning, and coordinating activities
Which of these is a *type of office* based on function?
Administrative office
Manufacturing office
Farming office
Shipping office
Front office* in a business is responsible for:
Customer service and reception
Accounting and finance
Production planning
Warehousing
Back office* functions include:
Public relations
Customer complaints
Human resources and payroll
Sales and marketing
Office equipment such as computers, printers, and scanners help in:
Transporting goods
Storing raw materials
Improving efficiency and accuracy of work
Increasing manual labor
Good office layout should_________
Maximize confusion
Promote smooth workflow and safety
Hide important documents
Increase noise levels
