ERC Business Studies 2023 Past Question

 

FCT/ERC/2023/BECE.

SUBJECT: BUSINESS STUDIES

DATE: JUNE, 2023.

TIME: 2½ HOURS.

SECTION A: OBJECTIVES

INSTRUCTION: ANSWER ALL QUESTIONS FROM THIS SECTION. 

1.       Which of the following is NOT a benefit of business studies?    A. to educate about business     B. it teaches how to keep files and documents    C. it helps people unconditionally    D. it teaches how office functions

2.       Which of the following is correct about commerce?    A. buying, selling and distribution of goods and services    B. concerns with home trade only    C. handles foreign trade only    D. master to trade

3.       Which of this section does not belong to personnel department?    A. interview program    B. promotion and discipline    C. wages and salaries    D. re-assignment of staff

4.       Products is not complete until goods produced gets to ____  A. wholesaler   B. retailer    C. consumer  D. agent

5.       One of the consequence of lateness and irregularity is _____ A. a high level of productivity    B. a fine    C. promotion    D. an increase of stress

6.       An individual who owns his capital and runs his own business alone is called a/an _____  A. business man     B. chief executive     C. entrepreneur   D. sole proprietor

7.       Which of the following business organization derives its capital from tax payers?  A. co-operative    B. public enterprises    C. partnership     D. sole proprietorship 

8.       Partnership deed is otherwise known as partnership ____   A. agreement    B. amalgamation   C. dissolution   D. memorandum

9.       What people do to earn a living is referred to as _____  A. occupation    B. production    C. distribution     D. enterprise

10.   Resources which are combined together to produce goods and services are called ___     A. chemicals     B. factors of production      C. free gifts of nature     D. labour

11.   Which of this is not a type of journal?  A. purchase journal     B. return inward journal     C. sales journal    D. balance brought forward journal

12.   The chemicals for household use and can be purchase in local stores is called____    A. toxic    B. dangerous     C. suitable    D. hazardous

13.   The following are office correspondence records EXCEPT____  A. postage book    B. inward book    C. outward book    D. school register

14.   In double entry bookkeeping the two aspect of a business are _____   A. buying and giving     B. buying and selling     C. debit and giving     D. giving and receiving

15.   The four main parts of the computers include _____  A. keyboard, monitor, central processing unit and mouse     B. keyboard, cursor, monitor, and speaker     C. speaker, joystick, scanner and mouse     D. monitor, central processing unit, scanner and speaker

16.   The telephone __is used by the receptionist to record telephone messages    A. directory    B. message pad    C. brick    D. tape

17.   The two major division of mail are ____   A. small and large     B. open and correspondence       C. letters and correspondence     D. incoming and outgoing  

18.   The appropriate dress code for a receptionist is ___ dress    A. official     B. casual    C. party    D. native

19.   What documents are used in buying of goods and services?    A. office     B. school      C. sales    D. purchase

20.   The path through which goods passes from the manufacturer  to the consumer is called ____    A. production     B. channels of distribution      C. flow chart     D. flow chain

21.   The following are career opportunities in the capital market EXCEPT_____    A. stock brokers    B. jobbers     C. architecture     D. equity analyst

22.   ____ note is prepared by the seller for goods returned and amount overcharged     A. debit     B. credit     C. order     D. purchasing

23.   The apex bank in Nigeria is ____    A. Zenith bank     B. Federal apex bank     C. national Apex bank      D. central bank of Nigeria

24.   One of these is not a type of account held in commercials banks    A. saving     B. current    C. regular    D. fixed deposit

25.   The insurance company will provide cover for loss of the following EXCEPT    A. gambling    B. goods      C. building      D. life

26.   A mail that is written and sent to someone within an organization is called ___ mail    A. express    B. external     C. foreign    D. internal

27.   What is the full meaning of the abbreviation COD?   A. carriage on delivery     B. cash on delivery  C. credit on delivery    D. cost on delivery

28.   The petty cash book is usually put  in the care of a clerk called a ____  A. petty cashier    B. receptionist    C. sale clerk     D. office clerk

29.   A transaction affecting both the cash and credit column of the cash book is called ____ entry    A. contra      B. control     C. credit     D. contract

30.   If Tom insured Bola’s car for #40000 which of the following principles will deprive Tom from making a claim?    A. contribution     B. proximate cause      C. insurable interest     D. utmost good faith

31.   Which of the following is recorded in the folio column of the ledger or journal?    A. all credit and sales transaction    B. amount of money involved    C. date of entry     D. page number of a journal or ledger account

32.   How many types of cash book do we have?    A. one     B. two    C. three    D. four

33.   The conventional system for recording petty cash transaction is referred to as ___    A. imprest system    B. petty cash reimbursement    C. petty cash retirement    D. petty business

34.   The ____ insurance reduce the financial burden to a family member at the death of its bread winner    A. burglary    B. life    C. marine    D. theft

35.   Withdrawal from bank for personal use is an example of ___ entry    A. contra    B. single  C. credit  D. debit

36.   The most universal media of advertising is the ____    A. newspaper     B. radio    C. handbill    D. television

37.   Which of the following is not a major type of transportation?   A. air    B. water    C. flight    D. pipeline

38.   The following are traditional method of communication EXCEPT ___     A. talking drum    B. town crier    C. flute    D. telephone

39.   Franking machine is more useful when ____   A. letters are many    B. postage book is missing    C. stamp is expensive    D. letters are few

40.   Which of the following is NOT true of ALL cheques?  A. amount in figures must correspond with the amount in words     B. bears the date on which the cheque is drawn    C. drawer’s signature correctly written on it     D. two parallel lines drawn across the face.

41.   Which of these is BEST used to advertise chalk?    A. law book    B. medical journey    C. teachers journal     D. weekend entertainment journal

42.   The quickest means of sending verbal message is by ___    A. e-mail  B. letters    C. telephone    D. telegram

43.   Which of these is NOT part of postal services? A. business reply     B. express letters     C. cash on delivery     D. trunk call

44.   The amount charged for carrying goods is known as ____   A. bond     B. brokerage     C. freight    D. commission

45.   The best storage system for very important documents is ______ cabinet     A. drawer    B. fire proof     C. safe     D. wooden

46.   Furniture and fittings are example of ____ assets    A. fixed    B. current     C. circulating    D. floating

47.   Mr. John bought 10 cartoons of milk @ ₦2500 and sold them ₦300 per carton. What profit did he make after paying #20 on transportation    A. ₦5500      B. ₦3000    C. ₦480    D. ₦320

48.   In a trial balance a clerk discovered that discount appears in the debit and credit column. What does the one on the credit side mean?     A. cash discount   B. discount allowed     C. discount received     D. trade discount

49.   Which of these is correct of a trading account?      A. bears the telephone number of the business      B. calculated after the profit and loss account       C. records fixed assets of the business      D. prepared for a period of time

50.   The following are rights of the consumer EXCEPT      A. to get value for goods bought      B. to choose among alternatives      C. not to be informed       D. to seek redress in court of law

Use the following information below to answer questions 51 and 52

      ₦

Capital 1/1/2023                         5000

Short term loan                           1750

Trade creditors                            1250

Cash at bank                               1450

Cash at bank                               1600

Cash in hand                                 125

 

51.   Calculate the current asset?     A. ₦3175     B. ₦3950    C. ₦6750     D. ₦4350

52.   The value of the current liabilities amounted to  A. ₦3000      B. ₦3175    C. ₦5000    D. ₦6750

53.   Which of these is not a book keeping ethics?    A. transparency     B. accountability     C. probity    D. proliferation

54.   ____ is not an item in the balance sheet      A. capital      B. asset     C. costs of goods sold       D. liabilities

55.   The difference between sales and cost of goods sold is the _____     A. gross profit     B. net profit  C. turnover     D. market value

56.   _____ is a hand written and disjointed material which need to be typed in a readable and meaningful way      A. magazine      B. manuscript      C. bill    D. handbook

57.   NP is a printer sign that is used to ______    A. insert hyphen     B. transpose      C. start a new paragraph     D. close up

58.   A method of paragraphing where all lines start at the margin is known as _____ paragraph     A. hanging      B. block     C. indented       D. open

59.   The ____ is a system of computers that are connected all over the world to transfer information to one another      A. telephone       B. G. S. M      C. internet     D. intercom

60.   In keyboarding ____ is used to press the space bar when typing      A. thumb      B. left finger       C. ankle      D. right finger  

 

SECTION B: ESSAY

INSTRUCTION: Answer all the questions

1.       The following balances were extracted from the books of Chineme Owen on 31^st December 2022

Stock 1/1/2022                          4000

Stock 31/1/2022                        2660

Sales                                          52700

Electricity bills                           1000

Salaries                                       3200

Rent                                             2000

Transport expenses                      1500

Return outward                            4600

Purchases                                   31300

You are required to prepare a trading, profit and loss account for the business for the year ended 31^st December, 2022.

2.       Mention three department in an organization 

b. Explain two departments mention in the 2a above

c. Differentiate between home trade and foreign trade 

3.       a. What is cash float?

b. Identify any two steps involved in the operation of the imprest system

c. Outline any four method of making payment 

4.       a. Define the term “cash book”

b. List the types of cash book

c. Briefly explain the following as related to office correspondence (i) incoming mail  (ii) outgoing mail   (iii) postage book

 

ALTERNATIVE TO PRACTICAL

1.       Mention five (5) control key and their functions   

2.       State five (5) ways of caring for office equipment

3.        Draw communication flow chart

4.       Draw business or complimentary card with its detailed information