Theory question 104
Introduction to Commerce(a) List five means of payment in home trade.
(b) Explain to a seller of motor vehicles, five ways computers could be useful in his business.
Show the model answer
(a) Any five: cash (notes and coins); cheques; bank drafts; postal and money orders; credit/debit cards; bank transfer (internet/mobile banking, USSD); POS; inland bills of exchange; promissory notes.
(b) Any five, explained:
- Keeping records of stock (vehicles in stock, sold, on order).
- Accounting: recording sales, purchases, debtors and preparing accounts with spreadsheets/software.
- Communicating with suppliers and customers by e-mail and social media.
- Advertising vehicles online/on a website and selling through e-commerce.
- Storing customer and supplier data for quick retrieval.
- Preparing invoices, receipts and letters by word processing.
- Searching the internet for vehicles, prices and buyers.
- Diagnosing faults on vehicles with computer-based tools.
Relate each use of the computer to the motor dealer's business.