How to Pass JAMB Commerce in 2027

Commerce is the subject of everything that happens between making a thing and putting it in someone's hand: the wholesaler who buys in bulk, the bank that moves the money, the insurer that carries the risk, the transporter, the advertiser. Because you see it every time you shop or use a bank app, many candidates assume they already know it. Then the exam asks for the difference between a bill of lading and a consignment note, and the confidence fades.

This guide is for the 2027 cycle. Its advice is simple: learn Commerce by contrast, and attach every term to something you have seen.

The format

Commerce is a chosen subject, used for courses like Business Administration, Marketing, Banking and Finance, and some social-science programmes. It carries 40 questions in the UTME CBT. Check jamb.gov.ng for the official time limit. To see how Commerce fits into a four-subject combination, read the JAMB subject combination guide.

The map of the syllabus

The topics that ExamPadi uses to organise Commerce practice are: Trade, Aids to Trade, Banking, Insurance, Stock Exchange, Marketing, Business Organisations, Accounts, Public Enterprises and Money. Group them like this:

Learn through pairs

Many Commerce questions turn on a difference between two things. Make a table for every pair you meet and fill in two or three points each side.

Then read the question looking for the keyword that points to one side. "Limited liability" suggests a company. "Unlimited liability" suggests a sole trader or ordinary partnership. "Shares sold on the Stock Exchange" suggests a public limited company.

Documents in trade

Documents are a favourite topic, because they test whether you understand the sequence of a transaction. Draw a timeline of home trade: enquiry, quotation, order, then the invoice and delivery note (textbooks differ on which comes first), and finally the receipt. Then do the same for foreign trade, adding the bill of lading, the certificate of origin and customs documents.

Test yourself: Which document is issued by a shipping company as evidence that goods have been received for shipment? That is the bill of lading.

Banking, insurance and the stock exchange

For banking, learn the types of account (savings, current, fixed deposit), the services banks offer, and the difference between commercial banks and the central bank. Know what a cheque is and the reasons one might be dishonoured.

For insurance, the principles are the heart of the topic: utmost good faith, insurable interest, indemnity, subrogation, contribution. Learn each in one sentence and attach an example. If you insure a car you own, you have an insurable interest; if you insure a stranger's car, you do not.

For the stock exchange, learn what it does (a market for buying and selling shares and bonds), the meaning of shares versus debentures, and the role of stockbrokers. The Nigerian Exchange, formerly the Nigerian Stock Exchange, is the local example. A typical question asks for the difference between an ordinary share and a preference share.

The few calculations you need

Commerce includes some simple arithmetic. Try this original example.

Goods are listed at ₦2,000. A trade discount of 10 per cent is allowed, and a cash discount of 5 per cent is allowed on the net price for prompt payment. How much is paid?

• Trade discount: 10 per cent of ₦2,000 = ₦200, giving ₦1,800.
• Cash discount: 5 per cent of ₦1,800 = ₦90.
• Amount paid: ₦1,800 − ₦90 = ₦1,710.

The trap is applying both discounts to the list price. Apply the trade discount first, then the cash discount on the reduced figure. Similar sums include mark-up, profit margin and turnover. Learn the formulas and the definitions of gross profit and net profit.

Marketing and public enterprises

Marketing questions focus on the marketing mix (product, price, place, promotion), channels of distribution (producer to wholesaler to retailer to consumer) and advertising media. Public enterprises questions ask why governments run businesses (public interest, security, large capital) and typical problems (inefficiency, political interference). Use one local example, such as a state-owned utility, to remember the points.

Mistakes to avoid

1. Confusing trade discount with cash discount. One is given to traders for buying in bulk or for being in the trade, the other for paying promptly.
2. Mixing up indemnity with insurable interest.
3. Using "Accounts" answers from Financial Accounting in a Commerce question.
4. Overlooking the word "except" in the question stem.

A study rhythm

Four weeks is workable. Give one group of topics to each week and finish with a week of mixed questions. Each study session should follow this order: read for 20 minutes, build or update your contrast table for 10 minutes, then do 15 questions. For methods that help with recall, see how to memorise faster.

For help in choosing where to focus, see JAMB Commerce topics to focus on.

Practise on screen

ExamPadi has free JAMB Commerce practice with explanations and a timed CBT mode. Start with the 2025 JAMB Commerce past questions. We cannot promise a score, but the contrast-table habit is a quick way to turn Commerce from confusing to comfortable. Tonight, build the table for the first three pairs above and test yourself on it.