Commerce past questions and answers, WAEC, 1989, part 3

Commerce past questions and answers, 1989:

Please read questions 26 - 50 here

 

51. Which of the following functions is performed by the stock exchange market?

1. Provision of bulk purchase
2. Issuing of treaty bills
3. Provision of the purchases and sale of existing securities
4. Discounting bills of exchange
5. Providing for short term investments

 

52. Which of the following is NOT a true characteristic of a Chamber of Commerce?

1. It is not for profit making
2. It is open only to political party members
3. It is democratically administered
4. It is a voluntary organization
5. It is independent of government control

 

53. The management’s function of evaluating the company’s performance to determine whether it is achieving its objective is _____.

1. controlling
2. directing
3. organizing
4. planning
5. consulting

 

54. Which of the following is primarily responsible for protecting consumers against poor quality goods?

1. Nigerian National Supply Company
2. Manufacturers Association of Nigeria
3. Industrial Arbitration Panel
4. Standards Organization of Nigeria
5. Nigeria Chambers of Commerce

 

55. Information about new goods is passed to buyers through _____.

1. wholesale trade
2. retail trade
3. market research
4. advertising
5. the manufacturer

 

56. Which of the following is NOT a component of a company’s marketing mix?

1. Product planning and price structure
2. Promotional plan
3. Distribution plan
4. Economic plan
5. Public relations plan

 

57. An important marketing concept is that all company planning and operations should be _____.

1. profit oriented
2. company oriented
3. organization oriented
4. dividend oriented
5. customer oriented

 

58. Which of the following is the main aim of Indigenization Decree?

1. To alleviate the effects of inflation
2. Eliminate foreigners from Nigeria’s economy
3. Remove all obstacles to commercial activities
4. Allow Nigerian greater participation in commercial activities
5. Alleviate the effects of a depressed economy

 

59. Which of the following institutions provide the volume of credit to the public?

1. Building societies
2. Mail order business
3. Department stores
4. Finance houses
5. Bank

 

60. When a cheque has special crossing, it should be _____.

1. cashed over the drawer
2. cashed over the counter
3. paid into a named bank
4. paid to the drawee
5. paid into the Central Bank

 

61. Through which of the following does Central Bank carry out the monetary policy of a country?

1. Discounting bills
2. Bank rate
3. Granting overdrafts
4. Acting as lender of last resort
5. Acting as banker to commercial banks

 

62. Which of the following is NOT a quality of money?

1. Divisibility
2. Portability
3. Accessibility
4. Recognizability
5. Durability

 

63. Which of the following is NOT a means of effecting payments through a current account?

1. Cheques
2. Standing orders
3. Giro system
4. Credit transfer
5. Credit card

 

64. A bill holder wishing to dispose of his bills before maturity would be paid _____.

1. the discounted value of the bills
2. the present value of the bills
3. the premium on the bills only
4. the accumulated interest on the bill
5. total face value of the bills with the premium

 

65. Which of the following is NOT a necessary sea port facility?

1. Berth
2. Warehouse
3. Container
4. Cranes
5. Tarmac

 

66. The main disadvantage of rail transport to the trader is that _____.

1. it carry bulky goods only
2. it’s cost of carriage is high
3. it is slow and inflexible
4. it causes road congestion
5. it travels on schedule

 

67. A telephone call within a town is called _____.

1. home call
2. trunk call
3. district call
4. zonal call
5. local call

 

68. The body controlling the installation and maintenance of telephone in Nigeria is _____.

1. NET
2. ITT
3. NITEL
4. NIPOST
5. NICON

 

69. A teleprinter is used to transmit _____.

1. important documents through the post office
2. typed messages quickly over a long distance
3. data to and from computer
4. messages to areas within a locality
5. information within a bank

 

70. Warehousing is one of the functions of the _____.

1. wholesaler
2. retailer
3. Chamber of Commerce
4. Ministry of Trade and Industry
5. Export Promotion Department

 

71. Which of the following price quotation contains the cost price, insurance charges and the cost of transporting the goods?

1. F.O.R
2. C & F
3. F.A.S
4. F.O.B
5. C.I.F

 

72. Any power exercised by a company in pursuance of objects NOT authorized by the Memorandum of Association is regarded as _____.

1. a trespass
2. a nuisance
3. ultra vires
4. uberrimaea fidei
5. caveat emptor

 

73. The process whereby a firm buys over the assets and liabilities of another firm is known as _____.

1. amalgamation
2. cartel
3. factoring
4. holding
5. combine

 

74. It is advantageous to provide services which are a natural monopoly through _____.

1. sole traders
2. partnership
3. public limited liability companies
4. public enterprises
5. co-operative societies

 

75. The rate at which a country’s exports exchange for its imports is called _____.

1. balance of payments
2. balance of trade
3. terms of delivery
4. terms of trade
5. counter trade

 

Please read questions 1 - 25 here

Please read questions 76 - 98. Answers are present here

You can read various topics on Commerce here