What are the factors with which commercial undertaking can be distinguish?
I Size of the undertaking
II Profits generated
III Forms of ownership
IV Location of the undertaking
Answer
(B)
I andIII only
2
Freight note is a document
Answer
(B)
issued by a shipping company giving details of charges
3
Spot market goods are those which are available for
Answer
(A)
immidiate delivery
4
The main advantage of road transport is that it is
Answer
(A)
convenient and flexible
5
The practice by which an insurance company accepts a very large risk and later shares it with other insurance companies is called
Answer
(C)
re-insurance
6
The insurance policy which provides full cover against all risks at sea is known as
Answer
(D)
Marine Voyage Policy Insurance
7
Berne union is also known as
Answer
(C)
International Union of Credit and Investment Insurers
8
which of the following sets of items was used for exchange in Nigeria before money was introduced?
Answer
(C)
cowries, manilla, brass rod andcopper wires
9
A major liability of a commercial bank arises from
Answer
(A)
customers' deposits
10
A bank statement is a document
Answer
(B)
containing records of receipts, payments and balance on an account
11
Which of the following is NOT a function of the stock exchange market?
Answer
(D)
enabling firms to wind-up quickly in times of difficulties
12
The marketing approach by which a firm carries out detailed analysis of itself, the consumers and its competitors is known as?
Answer
(D)
market survey
13
The breaking down of a market into separate and identifiable elements each with its own special product requirement is known as market
Answer
(B)
segmentation
14
Taking a new product to a particular part of a country to test the reaction of consumers to the product referred to as
Answer
(A)
sales promotion
15
A manufacturer can make his product distinguishable from those of other competitors by
Answer
(C)
branding and packaging the product
16
Which of the following are forms of sales promotion?
Answer
(A)
advertising, personal selling and publicity
17
A disadvantage of personal selling is that it
Answer
(D)
reduces a company's area of patronage
18
chinyere agree to make a dress for Halima with September 20, 1995 as the delivery date. If the dress was not ready on that date, Halima could
Answer
(B)
sue Chinyere for specific performance
19
Consumer sovereignty means that they consumer is
Answer
(D)
always right
20
When an industry or company is nationalized, the state becomes
Answer
(C)
the only shareholder
21
The federal Government made efforts at rendering public enterprises more efficient and profit-oriented through the process of
Answer
(B)
commercialization
22
Which of the following organizations represents those who engages labour in Nigeria?
Answer
(A)
Nigerian Labour Congress
23
The practice of assessing employees for payment or advancement according to their observed achievement is called
Answer
(C)
job grading
24
Motivation is an essential element in management because it
Answer
(B)
encourage individual to work towards achieving the orgaization's objective
25
The direct authority of a superior over his subordinate is known as
Answer
(B)
line authority
26
A firm's organizational structure would change if
Answer
(D)
the scope of business operation changes
27
The secretariat of the Niger Basin Commission is located at
Answer
(C)
Niamey, Niger
28
The development of commercial activities in Nigeria was facilitated largely by
Answer
(C)
a convenient medium of exchange
29
In which of the following sets of occupations can an industrial worker be found?
Answer
(D)
manufacturing , extraction and construction
30
Construction activities include the building of houses and roads as well as
Answer
(A)
brick laying
31
If a partnership deed is silent on how profits are to be shared, partners share profits
Answer
(C)
in an equal proportion irrespective of partners's capital contributons
32
Which of the following information is contained in the Articles of Association of a limited liability company?
Answer
(A)
Rights and obligations of directors
33
The merger of two companies producing the same type of products is an example of
Answer
(B)
horizontal integration
34
One of the implications of the incorporation of a company is that
Answer
(C)
the company's property becomes distinguished from that of its members
35
The main advantage of a sole trader is the freedom to
Answer
(C)
take quick decisions
36
In the case of a voluntary liquidation of a business the receivers is appointed by the by the
Answer
(A)
creditors
37
When a company uses more of loans than equity to finance its business, the company is said to be
Answer
(C)
highly geared
38
The nominal value of a share as specified in the Memorandum of Association and the share certificate is the
Answer
(C)
face value
39
A public limited company can raise long-term loans through
Answer
(A)
the capital market
40
Factoring is a trade debt term used when the agent buys all the trade debts of the
Answer
(B)
exporters
41
The financial index which compares current assets directly with current liabilities is known as current
Answer
(C)
ratio
42
Rights issue means the
Answer
(D)
issue of shares to shareholders on favourable terms
43
Rights issue means the
Answer
(D)
issue of shares to shareholders on favourable terms
44
Profit that is expressed as a percentage of the cost of goods sold is referred to as
Answer
(B)
mark-up
45
Given:
Opening stock 40 000
Purchases 115 000
Closing stock 60 000
Sales 250 000
What is the cost of goods sold?
