Jss3 first term business studies past questions and answers

Question: What is the primary function of a bank?

a) Manufacturing goods

b) Providing education

c) Facilitating financial transactions

d) Agricultural production

Answer: c) Facilitating financial transactions

Question: What is the purpose of market research in business?

 

a) To increase taxes

b) To identify and analyze market opportunities

c) To promote environmental conservation

d) To encourage social media engagement

Answer: b) To identify and analyze market opportunities

Question: Which of the following is a characteristic of sole proprietorship?

 

a) Limited liability

b) Shared ownership

c) Perpetual succession

d) Unlimited liability

Answer: d) Unlimited liability

Question: What is the role of entrepreneurship in economic development?

 

a) Slowing down economic growth

b) Increasing unemployment rates

c) Promoting innovation and job creation

d) Decreasing competition

Answer: c) Promoting innovation and job creation

Question: What is a demand curve?

 

a) A graph showing the relationship between price and quantity demanded

b) A mathematical equation for profit calculation

c) A chart displaying advertising expenses

d) A map of consumer preferences

Answer: a) A graph showing the relationship between price and quantity demanded

Question: What is the function of human resources in a business?

 

a) Managing financial resources

b) Recruiting and managing employees

c) Designing marketing strategies

d) Monitoring production processes

Answer: b) Recruiting and managing employees

Question: Which form of communication is essential for maintaining good customer relations?

 

a) Internal communication

b) Formal communication

c) Informal communication

d) External communication

Answer: d) External communication

Question: What is the purpose of a business plan?

 

a) Documenting personal expenses

b) Outlining business goals and strategies

c) Tracking social media followers

d) Analyzing competitor pricing

Answer: b) Outlining business goals and strategies

Question: In financial accounting, what does the term ‘profit’ represent?

 

a) Total revenue minus total costs

b) Total assets minus total liabilities

c) Total investment minus depreciation

d) Total expenses plus total revenue

Answer: a) Total revenue minus total costs

Question: What is the importance of branding in marketing?

 

a) Increasing production costs

b) Building customer loyalty and recognition

c) Reducing competition

d) Lowering product quality

Answer: b) Building customer loyalty and recognition

Question: What is inflation?

 

a) Decrease in the general price level of goods and services

b) Increase in the supply of money

c) Reduction in unemployment rates

d) Increase in the general price level of goods and services

Answer: d) Increase in the general price level of goods and services

Question: What does the term ‘dividend’ refer to in business?

 

a) A loan taken by a company

b) A portion of profits distributed to shareholders

c) Revenue generated from advertising

d) Expenses incurred in research and development

Answer: b) A portion of profits distributed to shareholders

Question: What is the purpose of a balance sheet?

 

a) Summarizing income and expenses

b) Assessing market demand

c) Showing the financial position of a company at a specific point in time

d) Analyzing customer feedback

Answer: c) Showing the financial position of a company at a specific point in time

Question: Which economic system is characterized by government ownership of major industries?

 

a) Capitalism

b) Socialism

c) Communism

d) Market economy

Answer: b) Socialism

Question: What is the purpose of quality control in production?

 

a) Increasing production costs

b) Reducing customer satisfaction

c) Ensuring products meet specified standards

d) Ignoring product defects

Answer: c) Ensuring products meet specified standards

Question: What is the role of advertising in marketing?

 

a) Increasing production efficiency

b) Promoting ethical business practices

c) Creating awareness and stimulating demand for a product or service

d) Reducing competition

Answer: c) Creating awareness and stimulating demand for a product or service

Question: What is the purpose of a trade union?

 

a) Maximizing company profits

b) Representing and protecting the rights of workers

c) Decreasing job security

d) Encouraging unfair labor practices

Answer: b) Representing and protecting the rights of workers

Question: What is the significance of consumer protection in business?

 

a) Exploiting customer vulnerabilities

b) Ensuring fair business practices and product safety

c) Reducing competition

d) Ignoring customer complaints

Answer: b) Ensuring fair business practices and product safety

Question: How does specialization contribute to increased productivity in a business?

 

a) Decreasing efficiency

b) Focusing on a specific task or function to improve skills and efficiency

c) Increasing unemployment rates

d) Promoting a lack of diversity in the workforce

Answer: b) Focusing on a specific task or function to improve skills and efficiency

Question: What is the concept of supply and demand in economics?

 

a) The government’s control over market prices

b) The relationship between the quantity of a good and the desire for that good

c) Decrease in the availability of goods

d) The elimination of competition

Answer: b) The relationship between the quantity of a good and the desire for that good