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