A quiz like that is merely a test to see the level of knowledge. Geography is not merely memorizing a lot of facts. It is understanding those facts, and what relation they have to the issues you need to understand.
What facts can we live without, and still have a necessary understanding of the world we live in? How can you understand the political situation in the Middle East, if you don't know where Israel is? How can you understand physics if you don't understand what an atom is?
My geographical knowledge of Rwanda is "it borders on Uganda", but yet I've read about the influence of colonialism there, the artificial seperation of tribes into a class system, the involvement of the RPF in Uganda, the UN handling and response of UN member nations, the accord leading up to the genocide ...
Luckily the test didn't ask me to find it on a map.
My geographical knowledge of Bosnia and Serbia is even smaller. But I have several Bosnian friends, and I became (for a while) very political aware of the situation by simply being present discussions.
When geography is important to understanding the situation, it is rarely placing it on a map that matters. Seeing the borders of Israel as drawn by the UN is useful, but only to get the gist of the ridiculousness of expecting them to be stable in that environment. Seeing the borders evolve is only required to get a sense of the precarious position of Israel and the palestinian areas. Once you have "sense" of population sizes and such, the important details are in how the governments act, the Balfour declaration, the details of how land was purchased during the initial years, ... all these are more important than the geography.
Even then, is knowledge of political situations in the Middle East, Rwanda or Bosnia a necessity? Definitely not. The politics of Canada, US and Europe all have more affect on my life than any of those.
Walt