PES JS1 Business Studies (Objective) 3rd Term Exam 2025/2026
  • 1. Why is bookkeeping important in a business?
A) It helps to calculate the profit or loss of the business
B) It stops customers from buying
C) It increases the price of goods
D) It makes workers lazy
  • 2. Which of these shows what a business owns and what it owes?
A) Bookkeeping records
B) Newspaper articles
C) Music notes
D) Story books
  • 3. A good bookkeeper must always record figures correctly. This quality is called ______.
A) Doubt
B) Slowness
C) Accuracy
D) Carelessness
  • 4. Which of the following is an unwanted quality in a bookkeeper?
A) Neatness
B) Forgetfulness
C) Honesty
D) Punctuality
  • 5. What document is given to a buyer as proof of payment after a cash sale?
A) Timetable
B) Diary
C) Textbook
D) Receipt
  • 6. Which of these is NOT a source document?
A) Textbook
B) Invoice
C) Receipt
D) Cheque
  • 7. An invoice is used when goods are sold on _____.
A) Gift
B) Credit
C) Charity
D) Lottery
  • 8. What is a receipt?
A) A bank building
B) A type of furniture
C) An evidence of payment
D) A shopping list
  • 9. The book of original entry where daily transactions are first recorded is called a _______.
A) Journal
B) Ledger
C) Source document
D) Balance sheet
  • 10. Which of the following journals is used to record only credit sales of goods
A) Purchases journal
B) Cash book
C) Sales journal
D) General journal
  • 11. What is a source document?
A) A list of company work
B) The original written evidence of a business transaction
C) A book used to write final accounts
D) A type of box
  • 12. Which source document is used to write up the sales journal?
A) Receipt
B) Payment voucher
C) Credit note
D) Sales invoice
  • 13. What is double entry bookkeeping?
A) Recording a transaction in two places : a debit and a credit
B) Counting the money in the cash box twice
C) Recoding a transaction only once
D) Writing down only what the business owns
  • 14. Things of value owned by a business are called _____.
A) Liabilities
B) Expense
C) Capitals
D) Assets
  • 15. An increase in an expense is recorded by giving it a ________.
A) Double entry
B) Zero entry
C) Credit entry
D) Debit entry
  • 16. Costs incurred in running a business, such as paying for electricity or rent, are called ____.
A) Cash
B) Assets
C) Expense
D) Liabilities
  • 17. To record an increase in a liability, you should _____.
A) Debit it
B) Clear it
C) Credit it
D) Divide it
  • 18. How do you record an increase in an asset account
A) Ignore it
B) Subtract it
C) Debit it
D) Credit it
  • 19. The left-hand side of a ledger account is known as the______.
A) Capital side
B) Credit side
C) Balance side
D) Debit side
  • 20. The principal book of account where all transactions are finally summarized is called a ______.
A) Journal
B) Ledger
C) Bookkeeping
D) Cash book
  • 21. Accounts dealing with tangible business properties like buildings and cash are classified as _____.
A) Liability account
B) Personal account
C) Real account
D) Nominal account
  • 22. Expenses and revenues of a business are recorded under _______.
A) Personal account
B) Nominal account
C) Capital account
D) Real account
  • 23. Which ledger is used to record accounts relating to credit customers or trade debtors.
A) General ledger
B) Sales ledger
C) Purchase ledger
D) Private ledger
  • 24. All of the following are factors that influence a person’s choice of occupation except ______.
A) Family background
B) Watching television
C) Education and training
D) Natural talent
  • 25. Jobs like teaching, medical care, and legal services that provide intangible benefits are grouped under ______
A) Manufacturing
B) Extractive work
C) Service
D) Construction
  • 26. What does the term occupation mean?
A) A type of food eaten daily
B) Any work or activity a person does to earn a living
C) A game played during school breaks
D) A place where people go to sleep
  • 27. How does climate and environment affect occupation
A) It has no effect on jobs
B) It stops people from working completely
C) It forces everyone to become pilots
D) People living near river are likely to become fishermen
  • 28. Who is an entrepreneur
A) A person who organizes factors of production and takes business risks
B) A government tax collector
C) A person who buys goods just to destroy them
D) A person who works only for a monthly salary
  • 29. What is the main reward or gain for an entrepreneur after running a business successfully is ______.
A) Loss
B) Wages
C) Profit
D) Rent
  • 30. Which of the following is a key characteristic or trait of a good entrepreneu.
A) Running away from problems
B) Fear of trying new things
C) Laziness
D) Being a risk taker
  • 31. An entrepreneur brings new ideas and new ways of making goods. This trait is known as being _____.
A) Innovative
B) Careless
C) Slow
D) Angry
  • 32. Which of these is NOT a factor of production
A) Labour
B) Capital
C) Land
D) Enterprise
  • 33. Why is an entrepreneur important to society?
A) They close down all shops
B) They stop economic growth
C) They make people lazy
D) They create jobs and reduce poverty
  • 34. Why is keyboarding important in modern communication?
A) It allows fast and efficient creation of emails, documents and messages
B) It helps us plays loud music
C) It replaces the mouse completely
D) It cools down the computer screen
  • 35. What is the main reason for maintaining a correct sitting posture?
A) To type with only one
B) To avoid fatigue, strain , and backaches
C) To look funny
D) To make the computer
  • 36. Where should your feet be placed while typing.
A) Crossed on top of the chair
B) On top on the table
C) Dangling in the air
D) Flat on the floor
  • 37. How should you position your back when sitting at a keyboard?
A) Bent sideways
B) Upright with your back straight against the chair
C) Lying flat on the desk
D) Slouched forward
  • 38. What is keyboarding?
A) The process of typing text or data into device using a keyboard
B) Turning off the computer
C) Repairing a computer
D) Walking on a keyboard
  • 39. Good keyboarding skills help a student to ___.
A) Hurt their fingers
B) Waste time typing slowly
C) Save time and reduce error when working
D) Break the keyboard keys
  • 40. What is entrepreneurship?
A) Playing football on the field
B) The act of sleeping
C) Reading a story book in school
D) The process of running and building a business to make profit
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