Purchase and Sale of Goods

Contents & notes: what this topic covers

Under Purchase and Sale of Goods, the JAMB Commerce syllabus expects you to study:

• 5. Purchase and Sale of Goods
• (i) Procedure and documentation (enquiry, quotation, order, invoice, proforma invoice, statement of accounts, indent, consular invoice, bill of lading, certificate of origin, consignment note, etc.)
• (ii) Terms of trade (trade discount, quantity discount, cash discount, warranties, C.O.D., C.I.F., F.O.B., and E.O.E. etc)
• (iii) Terms of payments a. Cash – Spot/Prompt payment b. Credit- Meaning - Types and functions - Merits and demerits
• (iv) Means of payments; Legal tender (bank notes and coins), cheques, standing order, bank draft, stamps, postal orders, money orders, bills of exchange, promissory note, mail, transfer, traveler’s cheques, telegraphic transfer, e-payment, recharge card.

Study notes & guidance

Study Purchase and Sale of Goods using a recommended Commerce textbook that follows the JAMB syllabus. Work through the contents listed above one by one, make brief notes in your own words, and then practise as many questions on this topic as you can — in Commerce, understanding and steady practice matter far more than memorising. Use the objectives below as a checklist: if you can do each one confidently, you have mastered this topic.

Objectives — candidates should be able to

After studying Purchase and Sale of Goods, you should be able to:

1. (i) examine the procedures and documents used in the purchase and sale of goods; (ii) determine the terms of trade; (iii) distinguish between cash and credit forms of payment; (iv) explain the meaning and types of credit; (v) analyse the merits and demerits of credit transactions. (vi) Identify the means of payment

These objectives are from the official JAMB syllabus. Use them as a checklist — if you can do each one confidently, you have mastered this topic.

Source: official JAMB UTME Commerce syllabus (IBASS, jamb.gov.ng). Reproduced for study use. Last checked: 17 Sept 2026. Always confirm the current syllabus on the official portal.