BECE Business Studies 2021 Past Questions

Question 1

The wholesaler buys goods in large quantity and sells in small quantity to the

A.agent
B.consumer
C.exporter
D.producer
E.retailer

Objective

Question 2

Short term loans are obtained from ..... market.

A.capital
B.commodity
C.foreign exchange
D.money
E.stock exchange

Objective

Question 3

The policy that covers damages incurred on ships and barges is called .... insurance.

A.burglary
B.fire
C.life
D.marine
E.vehicle

Objective

Question 4

The two main divisions of commerce are

A.home trade and freign trade
B.import trade and export trade
C.markets and business units
D.trade and aids to trade
E.wholesale trade and retail trade

Objective

Question 5

Which of the following is an advantage of road transportation? It is

A.flexible in its operations
B.good for carrying heavy goods
C.not affected by traffic congestion
D.the fastest means of transportation
E.the safest means of transportation

Objective

Question 6

The reward for land as a factor of production is

A.interest
B.profit
C.rent
D.salary
E.wage

Objective

Question 7

The following are rights of consumers EXCEPT the right to

A.fair hearing
B.free products
C.make a choice
D.safety
E.seek redress

Objective

Question 8

The end users of goods and services are

A.agents
B.consumers
C.customers
D.retailers
E.wholesalers

Objective

Question 9

Creating awareness about an organization's products in order to stimulate sales defines

A.advertising
B.banking
C.communication
D.distribution
E.trading

Objective

Question 10

Which of the following forms of business is aimed at improving the welfare of its members?

A.Cooperative society
B.Partnership business
C.Private limited company
D.Public limited company
E.Sole proprietorship

Objective

Question 11

The main purpose of setting up a business is to

A.assist the populace
B.grant humanitarian service
C.issue free samples of products
D.maintain high quality products
E.make profit

Objective

Question 12

The significance of insurance to individuals, groups and companies is to

A.conduct market survey
B.encourage research and development
C.minimise loss of lives and property
D.monitor the production of quality products
E.persuade buyers to purchase more goods

Objective

Question 13

In SWOT analysis, the positive characteristics offered by the external environment are

A.opportunities
B.standards
C.strengths
D.threats
E.weaknesses

Objective

Question 14

An aggrieved customer can seek redress through

A.Customer Protection Council
B.National Agency for Food and Drug Administration and Control
C.National Drug Law Enforcement Agency
D.Nigerian Stock Exchange
E.Standards Organization of Nigeria

Objective

Question 15

The basic necessity of life is ......

A.demand
B.need
C.opportunity
D.supply
E.want

Objective

Question 16

The ability of an organization to produce high quality products explains its ......

A.opportunities
B.efficiency
C.strength
D.threat
E.weakness

Objective

Question 17

Buyers of chemicals must ensure the following are clearly indicated on the label of the container EXCEPT the

A.concentration level of the chemical
B.hazardous composition of the chemical
C.manufacturing and expiring dates
D.name of the chemical
E.supplier's name and address

Objective

Question 18

The place where household goods are bought and sold is called ...... market.

A.capital
B.commodity
C.labour
D.money
E.stock exchange

Objective

Question 19

Mr. Musa buys goods from Anambra state and sells in Kaduna state. Mr. Musa in this case is involved in ....... trade.

A.entrepot
B.export
C.foreign
D.home
E.import

Objective

Question 20

The banking facility that guarantees frequent withdrawals of cash is the ..... account.

A.corporate
B.current
C.fixed deposit
D.savings
E.joint

Objective

Question 21

Which of the following is a modern means of communication?

A.Gong
B.Letter
C.Setting fire
D.Talking drum
E.Town crier

Objective

Question 22

The movement of goods from the warehouse to the government explains ......

A.advertising
B.communication
C.distribution
D.packaging
E.trading

Objective

Question 23

A trader who sells variety of products in units and bits to buyers within an environment is involved in ...... trade.

A.entrepot
B.bilateral
C.multilateral
D.retail
E.wholesale

Objective

Question 24

When a businessman is truthful to his customers, it means he is ......

A.bias
B.hardworking
C.inconsistent
D.respectful
E.straightforward

Objective

Question 25

The avenue through which organizations display their products for sale at a reduced price to promote sales describes

A.bill board
B.neon signs
C.sales van
D.trade fair
E.window display

Objective

Question 26

A form of business unit which does NOT have maximum limit of shareholders is

A.cooperative society
B.partnership business
C.private limited company
D.public limited company
E.sole proprietorship

Objective

Question 27

Which of these statements is NOT true of entrprenuers? They

A.apply innovative ideas
B.change the way businesses convert inputs into outputs
C.create employment opportunities
D.share the profits made with their employees
E.take risk

Objective

Question 28

The process of conveying people and goods from one place to another is

A.distribution
B.exportation
C.importation
D.transfer
E.transportation

Objective

Question 29

People that deal with conversion of raw materials into finished goods are involved in ...... ocupation.

A.commercial
B.constructive
C.extrative
D.manufacturing
E.service

Objective

Question 30

Which of the following is NOT among the procedures to be followed in writing a simple business plan?

A.Carrying out market analysis
B.Designing the organizational structure
C.Filing a compliant
D.Indentifying the human resources requirement
E.Preparing the legal structure of the business

Objective

Question 31

The main purpose of preparing profit and loss account is to ascertain

A.gross profit or loss
B.gross sales
C.net profit
D.net profit or loss
E.net purchases

Objective

Question 32

Which of the following items will be entered in credit side of trial balance?

A.Carriage inwards
B.Discount allowed
C.Purchases
D.Sales
E.Stock

Objective

Question 33

If goods are sold for ₦20,000 by cash, the double entry is

A.credit cash and credit sales
B.credit sales and debit cash
C.debit sales and credit cash
D.debit sales and debit cash
E.debit purchases and debit cash

Objective

Question 34

The book used to record the balances extracted from ledger is called

A.cash book
B.petty cash book
C.purchases book
D.profit and loss account
E.trial balance

Objective

Question 35

In which of the following books is the day to day transaction of a business recorded?

A.Cash
B.Credit
C.Journal
D.Ledger
E.Trial balance

Objective

Question 36

Which of the following columns differentiates double column cash book from three column cash book?

A.Bank
B.Date
C.Discount
D.Folio
E.Particulars

Objective

Question 37

The document sent by the seller to the buyer to correct an undercharge is called

A.credit note
B.debit note
C.invoice
D.receipt
E.statement of account

Objective

Question 38

The following are source documents EXCEPT

A.balance sheet
B.credit note
C.debit note
D.invoice
E.receipt

Objective

Question 39

The entries of "cash paid into bank" in the cash book are

A.credit cash only
B.credit bank and debit cash
C.debit cash only
D.debit bank only
E.debit bank and credit cash

Objective

Question 40

The entries of "cash withdrawn from bank" in the cashbook are

A.credit bank only
B.credit bank and debit cash
C.debit cash only
D.debit bank and cash
E.debit bank and credit cash

Objective

Question 41

Leger is classified into the following EXCEPT

A.cash book
B.double entry
C.general
D.purchase
E.sales

Objective

Question 42

The left hand side of ledger is called ..... side.

A.credit
B.debit
C.folio
D.lower
E.upper

Objective

Question 43

Which of the following assets is temporary in nature?

A.Cash
B.Furniture
C.Land and building
D.Machinery
E.Motor vehicles

Objective

Question 44

The document that shows the financial position of a business organization is called

A.balance sheet
B.bank statement
C.cash book
D.cash flow
E.trial balance

Objective

Question 45

Use the following information to answer questions 45 and 46.
The following is a summary of the petty cash transaction of YAKS Ltd for the month of February, 2015
Feb 1. Received from account ₦10,000 as cash floats
Feb. 3 Paid cleaners ₦1,000
Feb 5 Bought petrol for delivery van ₦1,300
Feb. 8 Bought postage stamp ₦300
Feb. 12 Paid ₦1,700 for cutting grasses
Feb. 22 Bought stationeries for ₦700
Feb. 28 Paid for postage ₦500

What is the amount of cash the petty cashier is to be re-imbursed at the end of the month?

A.₦5,500
B.₦5,000
C.₦4,500
D.₦4,000
E.₦3,500

Objective

Question 46

Use the following information to answer questions 45 and 46.
The following is a summary of the petty cash transaction of YAKS Ltd for the month of February, 2015
Feb 1. Received from account ₦10,000 as cash floats
Feb. 3 Paid cleaners ₦1,000
Feb 5 Bought petrol for delivery van ₦1,300
Feb. 8 Bought postage stamp ₦300
Feb. 12 Paid ₦1,700 for cutting grasses
Feb. 22 Bought stationeries for ₦700
Feb. 28 Paid for postage ₦500

What is the amount paid to the cleaners?

A.₦3,500
B.₦2,700
C.₦2,500
D.₦2,000
E.₦1,700

Objective

Question 47

The document that shows the evidence of payment of a business transaction is

A.credit note
B.invoice
C.journal proper
D.receipt
E.source document

Objective

Question 48

Money provided by an individual to start a business is

A.asset
B.capital
C.liability
D.loan
E.stock

Objective

Question 49

The following are importance of book keeping EXCEPT for

A.employment purpose
B.decision making
C.planning purpose
D.prevention of fraud
E.tax assessment

Objective

Question 50

A trial balance is prepared on a ...... entry basis.

A.double
B.contra
C.journal
D.ledger
E.single

Objective