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Statement of Account : statement of account is a document sent by the seller to the buyer at regular intervals to inform him of all transactions made during a particular period and the amount due. It usually shows credits and debits to the account and the balance due. Statement of account enables the customer of a firm to have a thorough check of what he has purchased



Invoice: Invoice is a commercial document used in business transaction, giving a complete or comprehensive summary of a transaction involving sales or purchases of goods. Most invoice bears the term E & OE(Errors and Omissions Expected). It is sent by the seller to the buyer to provide him information such as lists of goods bought and descriptions.



Quotation: Quotation is a statement prepared by a supplier of goods and services for a particular order which shows the current price and terms of trade. Quotation is applicable to a particular transaction only. The supplier will send it to show the price to be changed, terms of payment and period of delivery. It is usually sent as a reply to an enquiry



Receipt: Receipt is a document which acknowledge that payment has been received from the buyer. When the customer receives the goods and he sends the money to the seller who in return issues the receipt as evidence of payment. It must be written and signed by the seller and sent to the buyer, stating the actual amount received. Receipt shows the date of payment and used for auditing purposes.



Cash book: Cash book is a financial journal that contains all cash receipts and disbursements, including bank deposits and withdrawals. Entries in the cash book are then posted into the general ledger. Cashbook is is the record of all business transactions in the form of note, taken place in a particular period.




Trade is one of the main division of commerce.It is the act or an instance of buying and selling of goods and services either on the domestic (wholesale and retail) markets or on the international (import, export, and entrepot) markets.



(i)Food items Eg beverages

(ii) Textile materials Eg wool




(i)The wholesaler buys in large quantities from the manufacturer and sells in small quantities to the retailers

(ii)The wholesaler requires a large space (warehouse) to store his goods

(iii)The wholesaler acts as an intermediary between the retailer and the manufacturer



(i)The retailer buys in small quantities from the wholesaler and sells in bits to final consumer.

(ii)The retailer requires a small space (shop) to display his wares

(iii)The retailer acts as an intermediary between the wholesaler and the final consumer.



Commerce can be defined as the process of buying, selling, exchange and distribution of goods and services. Commerce can also be defined as trades and aids to trade.



(i)Commerce facilitates the exchange of goods and services through trading.

(ii)It makes storage possible through the ware housing facilities.

(iii)Commerce provides employment opportunities for a lot of people.

(iv)It increases the standard of living of the people through provision of variety of goods.

(v)Commerce helps to finance businesses by giving out loans through banks to businessmen.




Credit is an arrangement whereby the seller agrees to let the buyer take delivery of the goods with a promise to pay for them within a certain period of time, which is agreed upon by both parties.



(i)An offer must be made: This means that one party must propose that an agreement be made by both parties. A specified offer must be made to make clear the intention of the offeror.

(ii)The offer must be voluntarily accepted: The offeror must accept the offer before a contract is made.

(iii)Both the offeror and the offeree must give a valuable consideration. An agreement can become a contract only when both the offeror and the offeree give or promise to give something of value to the other.

(iv)Both parties must have legal capacity to contract. Only adult citizens who are not insane have full capacity to enter into any kind of contract.

(v)The contract must be in poor form. Although most contracts can be made by an oral statement, by an act or by a casually written document, for some types of contract, the law requires that a prescribed form be allowed.




Business environment consists of a number of activities that affect the operation of a business. The environment of a business is full of complexities, intricacies and it is highly dynamic



Cultural environment: A business organisation must take into consideration the beliefs, attitudes, needs, values and lifestyle of the people. The socio-cultural attitudes of the people will undoubtedly affect their consumption pattern eg Sharia state which do not allow alcohol consumption or sale



Economic environment :A country’s economic system will determine the nature of business eg in a socialist economy, there is much state intervention while under capitalism, market forces prevail. The interfaces between a business and its economic environment also include income distribution, expenditure pattern and the saving capacity of the people.



Legal environment:A great deal of government legislations, laws, acts and decrees eg Company Act, Partnership Acts, Employment Act etc will affect the conduct of a business. To avoid any legal action, the business must abide by the various legislations in its operation.



Political Environment: The policies of the political party in power would affect the operation of business. Government policies will determine business practices and investment climate in a country eg military regime in Nigeria during which the political situation was not conducive for investments. Business concern were badly affected during this period




Branding is the act of giving distinctive name or label to a product. It helps in creating, stimulating and maintaining demand for it. It is a form of advertising.



(i) Memory recall is facilitated. This leads to greater frequency of buying and brand loyalty.

(ii) Advertising can be directed more efficiently and linked with other communication programmes.

(iii) Branding leads to a more ready acceptance of a product by wholesalers and retailers

(iv) Self-selection is facilitated. This is very important in self service stores.

(v) Display space is more easily obtained and special.



(i) Too many brands confuse the consumers

(ii) Branding may lead to monopoly.





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