WAEC SSCE Commerce
Study notes for PURCHASE AND SALE OF GOODS IN HOME AND FOREIGN TRADE — part of the WAEC SSCE Commerce syllabus. 1 learning objectives with explanations and exam tips.
When you buy or sell goods within Nigeria, you're doing home trade. When goods cross borders, that's foreign trade. These transactions need proper documents and payment methods to protect both the buyer and seller.
Business documents like invoices, proforma invoices, and credit notes keep records of what was ordered, what was delivered, and what was paid. Think of them as your evidence in court if there's a dispute. For foreign trade specifically, documents like certificates of origin prove where goods came from, while insurance certificates protect against loss during shipping.
Payment terms like Cash on Delivery (COD) mean you pay when goods arrive, while Cash With Order (CWO) means you pay before anything is sent. Prices include discounts—trade discount reduces the original price for bulk buyers, cash discount rewards quick payment, and quantity discount means buying more costs less per unit.
Your payment method matters too. You might use cheques, bank drafts, or bills of exchange instead of carrying cash around.