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SS 2 Commerce - Quiz
Contributed by: Obalanlege
  • 1. Credit sale means payment is made __________.
A) Before goods are taken
B) When the buyer wishes
C) After an agreed period
D) Immediately after delivery
  • 2. A system where payment for goods is spread over time is called __________.
A) Cash sales
B) Deferred payment
C) Discounting
D) Barter
  • 3. The person who buys goods on credit is known as the __________.
A) Retailer
B) Agent
C) Debtor
D) Creditor
  • 4. A major disadvantage of credit sale to the seller is __________.
A) Faster turnover
B) Risk of bad debts
C) High profit
D) Loss of goods
  • 5. In hire purchase, ownership is transferred to the buyer __________.
A) After signing the agreement
B) Immediately
C) Before any payment
D) After final payment
  • 6. The person who uses an asset for a fixed period while paying rent is called __________.
A) Lessor
B) Lessee
C) Hirer
D) Mortgagor
  • 7. A mortgage is a loan secured with __________.
A) Personal property
B) Shares
C) Insurance
D) Land or building
  • 8. The person who lends money in a mortgage agreement is the __________.
A) Lessee
B) Mortgagor
C) Mortgagee
D) Hirer
  • 9. A hire purchase agreement usually contains __________.
A) Contact address of buyer only
B) Selling price only
C) Salary of the buyer
D) Cash price and instalment price
  • 10. A lease type where the lessee repairs and maintains the asset is called a __________ lease.
A) Operating
B) Finance
C) Full-service
D) Closed
  • 11. The first document sent by a seller stating prices and terms is called a __________.
A) Receipt
B) Invoice
C) Quotation
D) Debit note
  • 12. A document used to correct an overcharge is a __________.
A) Credit note
B) Debit note
C) Invoice
D) Consignment note
  • 13. The document that shows details of goods bought and amount owed is the __________.
A) Invoice
B) Order
C) Statement
D) Receipt
  • 14. Proof of payment from the buyer to the seller is a __________.
A) Invoice
B) Quotation
C) Receipt
D) Credit note
  • 15. A document used to request goods from a supplier is the __________.
A) Order form
B) Invoice
C) Delivery note
D) Statement
  • 16. "FOB" means __________.
A) Free on Board
B) Free of Business
C) Foreign Order Book
D) Freight on Bond
  • 17. "CIF" means cost, insurance and __________.
A) Freight
B) Filing
C) Feeder
D) Finance
  • 18. A discount given for early payment is called __________.
A) Cash discount
B) Trade discount
C) Seasonal discount
D) Quantity discount
  • 19. Terms of trade refer to __________.
A) Conditions of buying and selling
B) How money is exchanged
C) Means of transporting goods
D) How profits are shared
  • 20. Payment made by writing the amount on a bank paper is called __________.
A) Postal order
B) Voucher
C) Cheque
D) Credit card
  • 21. Which is NOT a means of payment?
A) Cheque
B) Money order
C) Bank draft
D) Quotation
  • 22. A card used for cashless payment electronically is called __________.
A) Postal card
B) Debit card
C) Processing card
D) Address card
  • 23. The safest means of sending money to a distant place is __________.
A) Money order
B) Cheque
C) Open cheque
D) Postal order
  • 24. A person who buys goods and services for use is a __________.
A) Producer
B) Retailer
C) Wholesaler
D) Consumer
  • 25. The agency responsible for checking fake and expired drugs in Nigeria is __________.
A) NAFDAC
B) NDLEA
C) SON
D) EFCC
  • 26. Which of the following protects consumers from harmful products?
A) Consumer associations
B) Trade unions
C) Manufacturers
D) Internal auditors
  • 27. A right of a consumer is the right to __________.
A) Safety
B) Overcharging
C) High prices
D) Deception
  • 28. The owners of a limited liability company are called __________.
A) Suppliers
B) Debtors
C) Directors
D) Shareholders
  • 29. The document that gives a company legal existence is the __________.
A) Receipts
B) Invoice
C) Trade note
D) Memorandum of Association
  • 30. A company whose shares are not sold to the public is a __________.
A) Government firm
B) Private limited company
C) Public limited company
D) Partnership
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