Question 1

. A system involving the exchange of goods depending on the ‘double coincidence of wants’ is known as

Accepted Answer

barter

Answer

money

Answer

equal exchange

Answer

specialization

Question 2

Which of the following is NOT a function of money?

Accepted Answer

Indivisibility

Answer

Measure of Value

Answer

Store of value

Answer

Medium of Exchange

Question 3

A post-dated cheque is one which is dated

Accepted Answer

for payment at a future date

Answer

to agree with the date of the document requesting payment

Answer

by the bank on the day the cheque  is presented for payment

Answer

no later than six months ago

Question 4

Which of the following practices are characteristic of a free economy?

Accepted Answer

Private ownership of assets and freedom of contract

Answer

Central planning and Freedom of contract

Answer

Central planning and price fixing

Answer

Private ownership of assets and price fixing

Question 5

In which department of a manufacturing business would an engineer MOST likely be found?

Accepted Answer

Production

Answer

Marketing

Answer

Personnel

Answer

Financial

Question 6

Which of the following best  include  responsibilities must be assumed by the management of a company?

Accepted Answer

Producing goods of marketable quality; Maximizing efficiency and creating surpluses; Determining dividends to be paid to shareholders

Answer

Producing goods of marketable quality and Maximizing efficiency only

Answer

Maximizing efficiency and creating surpluses and Determining dividends to be paid to shareholders only

Answer

Producing goods of marketable quality and Determining dividends to be paid to shareholders only

Question 7

Which of the following responsibilities must be assumed by the management of a company?

Accepted Answer

Fringe

Answer

Reward

Answer

Bonus

Answer

Motivation Scheme

Question 8

The primary role of the Human Resource Department of a firm is to

Accepted Answer

recruit, train and motivate workers

Answer

seek training opportunities for employees

Answer

discipline employees who breach regulations

Answer

represent employees in industrial relations

Question 9

Which of the following best describes characteristics that are exemplary of a good leader?

Accepted Answer

Inspiring workers; Delegating responsibilities; Making intelligent decisions

Answer

Delegating responsibilities; Making intelligent decisions only

Answer

Inspiring workers; Making intelligent decisions only

Answer

Inspiring workers; Delegating responsibilities only

Question 10

An authoritarian leader is one who

Accepted Answer

makes decisions without  consultation

Answer

takes suggestions from employees

Answer

consults with those likely to be  affected by the decision

Answer

allows workers to plan their own  work

Question 11

The workers in a large organization are dissatisfied with the working conditions. The trade union representatives’ first likely action will be to

Accepted Answer

have discussions with the personnel  officer

Answer

encourage the workers to take strike  action

Answer

request a meeting with the Board of Directors

Answer

encourage employees to adopt go-  slow tactics

Question 12

A trait associated with entrepreneurs is

Accepted Answer

Taking risks

Answer

Acceptance of loss

Answer

Fear of failure

Answer

Opposition to change

Question 13

Which of the following best describes the purpose of a business plan is to

Accepted Answer

measure the performance of the business;  attract financing for the business;  provide direction for the business operations

Answer

Measure the performance of the business; attract financing for the business only

Answer

attract financing for the business; provide directions for the business operations only

Answer

Measure the performance fo the business; provide directions for business operations only

Question 14

Which of the following factors is LEAST likely to affect the location of a business?

Accepted Answer

Weather condition

Answer

Suitable infrastructure

Answer

Availability of raw material

Answer

Availability of labour

Question 15

Which of the following is a regulatory issue for the entrepreneur?

Accepted Answer

Paying national insurance to the  government

Answer

Offering hire purchase options to  customers

Answer

Using a credit card to transact  business

Answer

Advertising the business locally and  regionally

Question 16

Which of the following best gives and idea of the  pieces of information that should be included in a feasibility study?

Accepted Answer

An overview of the business; The growth potential of the business; The profitability of the business

Answer

An overview of the business; the profitability of the business only

Answer

The growth potential of the business; the profitability of the business only

Answer

An overview of business; the growth potential of the business only

Question 17

Which of the following best describes situations that would occur if a contract for the sale of goods becomes void?

Accepted Answer

The prospective buyer does not become the owner; The seller must return any money or goods given to him by the prospective buyer for the transaction.

Answer

The prospective buyer becomes the owner; The seller must return any money or goods given to him by the prospective buyer for the transaction. only

Answer

The prospective buyer becomes the owner only

Answer

The prospective buyer does not become the owner only

Question 18

Which of the following documents should be used to indicate to a business department that supplies of certain goods are needed?

Accepted Answer

Requisition order

Answer

Stock card

Answer

Invoice

Answer

Quotation

Question 19

Which of the following ways is NOT legitimate for terminating a contract?

Accepted Answer

Breach

Answer

Performance

Answer

Change of mind

Answer

Lapse of time

Question 20

Which of the following describes an essential feature of a valid contract?

Accepted Answer

The offer has been accepted by the offeree.

Answer

The offer has been made in writing by the offeror.

Answer

The offer has been communicated to the offeree.

Answer

A counter offer has been made by the offeree of the offeror.

Question 21

'Capital as a factor of production’ refers to

Accepted Answer

goods that are used to produce other goods

Answer

goods purchased for resale

Answer

assets that are owned by the firm

Answer

money that is used to purchase goods

Question 22

Primary production is concerned with the

Accepted Answer

provision of raw materials

Answer

provision of services

Answer

distribution of goods

Answer

manufacture of goods

Question 23

Which of the following best describes the features of a cottage industry

Accepted Answer

Minimal investment; Family help

Answer

Minimal investment; Production of exports

Answer

Production of exports; Family help

Answer

Minimal investment; Production of exports; Family help

Question 24

Which of the following is NOT a primary industry?

Accepted Answer

Building

Answer

Mining

Answer

Fishing

Answer

Farming

Question 25

Which of the following actions would best allow a cigarette manufacturer vertical integration of business activities?

Accepted Answer

Buying a tobacco estate; Establishing a retail outlet for cigarettes

Answer

Buying a tobacco estate; Purchasing a competitor’s cigarette factory; Establishing a retail outlet for cigarettes

Answer

Buying a tobacco estate; Purchasing a competitor’s cigarette factory only

Answer

Purchasing a competitor’s cigarette factor; Establishing a retail outlet for cigarettes only

Question 26

Which of the following LEAST affects the location of an industry?

Accepted Answer

Proximity to large shopping areas

Answer

The presence of good roads and  drainage

Answer

Availability of an abundant labour    supply

Answer

Proximity to sources of raw    materials

Question 27

Which of the following best outlines the functions of small firms?

Accepted Answer

The provision of goods and services; The offering of personalised services; The production of exclusive articles

Answer

The provision of goods and services; The offering of personalised services only

Answer

The provision of goods and services; The production of exclusive articles only

Answer

The offering of personalised services; The production of exclusive articles  only

Question 28

Which of the following activities carried out in a firm will NOT be under the supervision of the marketing manager?

Accepted Answer

Purchasing

Answer

Advertising

Answer

Distribution

Answer

Packaging

Question 29

Which of the following documents gives the name of the ship and full particulars of the shipment of goods?

Accepted Answer

Bill of lading

Answer

Broker's bill

Answer

Bill of sale

Answer

Airway bill

Question 30

Which of the following best describe the characteristics of a ‘perfect market’?

Accepted Answer

There are many buyers and sellers; The price of the goods must be fixed by supply or demand.

Answer

There are many buyers and sellers.; The price of the goods must be fixed by supply or demand; There must be several types of the commodity on sale only

Answer

There are many buyers and sellers; There must be several types of the commodity on sale only

Answer

The price of the goods must be fixed by supply or demand; There must be several types of the commodity on sale.

Related quizzes

Related quizzes