Document

1. The development of trade in west Africa was aided by the

A. emergence of traditional rulers.
B. arrival of the Potuguese
C. Introduction of tax payment.
D. Introduction of money
2. An issuing house is an outlet for

A. new shares and bonds
B. non listed companies shares.
C. existing shares and bonds
D. Only gilt-edged securities
3. Which of the following is quoted when the buyer is responsible for the cost of loading the goods from the seller’s warehouse up to his own warehouse?

A. F.O. R
B. C.I.F.
C. E.A.S
D. Loco
4. The relationship between all imports and exports of a country is known as

A. terms of trade.
B. balance of trade
C. balance of payment.
D. terms of payment.

5. Which of the following is an example of large-scale retailing?

A. Hawking
B. Mobile shops
C. Kiosks
D.

6. A cheque drawn by a bank on itself is a/an

A. direct debit.
B. bank draft.
C. bank transfer.
D. overdraft.

7. A voluntary body formed by people in the same line of business for the purpose of protecting their interest

A. trade association.
B. trade union.
C. chamber of commerce.
D. trading partnership.

8. Those who are engaged in the distribution of goods belong to

A. commercial occupation.
B. extractive industry.
C. manufacturing industry.
D. construction industry.

9. When an insurance policy is declared void because of a false declaration; the principle involved is

A. indemnity assets.
B. intangible assets
C. liquid assets
D. fixed assets

10. Buildings and machinery used in the running of a business are examples of

A. current assets.
B. intangible assets.
C. liquid assets.
D. fixed assets.

11. Which of the following is classified as invisible item in balance of payment?

A. Import of goods
B. Salaries of expatriates
C. Export of groundnuts
D. Sale of equipment

12. collecting information on the taste of consumers and the extent of demand for a product is

A. market research.
B. market segmentation.
C. marketing mix.
D. marketing concept.

13. Which of the following is not an insurance of indemnity?

A. Life
B. Marine
C. Burglary
D. Fire

14. The entitlement of a debenture holder from a company’s income is known as

A. commission.
B. interest.
C. lien.
D. dividend.

15. The collection of tariffs on imported goods is the function of

A. Ports Authority.
B. Customs and Excise Authority.
C. Clearing and Forwarding Agents.
D. Export Promotion Council.

16. A licensed person who is authorized to sell to the highest bidder is

A. principal.
B. factor.
C. broker.
D. auctioneer.

17. An efficient transport system enables a trader to

A. widen the market for his products.
B. avoid customs examination of goods.
C. adopt better price policy.
D. reduce cost of production.

18. The Central Bank’s monetary policy instrument by which it buys and sells Treasury bills is known as

A. Open Market Operation.
B. Bank rate.
C. Cash reserve ratio.
D. Special deposit.

19. Which of the following acted as the central bank for West African countries before their independence?

A. The West African Clearing House
B. The British Bank for West Africa
C. The West African Currency Board
D The African Development Bank

20. Current account holders withdraw money by means of

A. credit card.
B. draft.
C. withdrawal form.
D. cheque.

21. Which of the following is a feature of mail order business?

A. Employs many shop assistants
B. Practices self- service
C. Provides attractive shop front
D. Rents large warehouse

22. Bonded warehouse is a place where

A. duty free goods are kept.
B. perishable goods are kept.
C. home-made goods are kept.
D. dutiable goods are kept.

24. Which of the following is concerned with promoting favourable image of an organization?

A. Consumer sovereignty
B. Public relations
C. Marketing research
D. Market segmentation

25. The document issued by the registrar of companies fi te of Incorporation. to permit a public limited of association to commence business is

A. Memorandum of Association
B. Certificate of Incorporation
C. Article of Association
D. commence Trading Certificate.

26. One of the principles of insurance is

A. consequential loss.
B. fidelity guarantee.
C. proximate cause
D. surrender value

27.A written instruction by a current account holder to his bank to debit his account at regular intervals with a specified amount for a given period is known as

A. standing order
B. money order.
C. bank draft.
D. overdraft.

28. A collective bundle of shares is called

A. debenture.
B. stock.
C. bond.
D. share.

29.The assets of a business that is available as cash or near cash is called

A. equity.
B. capital employed.
C. reserved capital.
D.liquid capital.

30 The bank on which a cheque is drawn is known as the

A. drawer.
B. drawee.
C. cashier.
D payee.

A percentage reduction from the quoted Price of goods given to a buyer to encourage bulk purchase is called

A. cash discount.
B. trade discount.
C. commission.
D. bonus.

32. The difference between the cost price and selling price of an article is

A. commission.
B. mark-up.
C. rebate.
D. discount

33. A ceiling on the quantity of commodity to be imported into the country is called

A. ban.
B. tariff.
C. price limit.
D. quota

34. The buyer in a hire purchase contract becomes the legal owner of the goods by paying

A. initial deposit.
B. the last instalment.
C. half of the purchase price.
D. two-third of the purchase price.

35. The document which helps in ascertaining the correct value of imports in order to assess the custom duty is

A. bill of lading.
B. consular invoice.
C. bill of sight.
D. ships manifest.

36. The combination of product, price, promotion and distribution decisions employed by a company is referred to as its

A. pricing policy.
B. marketing mix.
B. product mix.
D. marketing concept.

37. The document which specifies the manufacturer from whom goods are to be imported is

A. closed indent.
B. open indent.
C. export invoice.
D. consignment note.

38. Who among the following generally has no capacity to enter into a valid contract?

A. School principals
B. Infants
C. Agents
D. Religious ministers.

39. The satisfaction of consumers in all business activities is emphasized by

A. market research.
B. marketing concept.
C. marketing mix.
D. product differentiation.

40. The document which is used when a country imposes ad valorem duties is

A. bill of lading.
B. consular invoice.
C. certificate of origin.
D. open indent.

41. An activity involving buying, selling and distribution of goods and services is known as

A. trade.
B. marketing mix
C. exchange.
D. commerce.

42. Which of the following arrangement of documents is the correct sequence as used in the retail trade? l. Quotation ll. Enquiry Ill. Order IV. Invoice

A. l, Il, Ill, IV
B. Il, l, Ill, IV
C. l, IV, Ill only
D. l, Ill, IV only

43. Mr. Lou who assured his life with XYZ Assurance Company, was involved in an accident and had a broken leg; the sum of was paid to Mr. Lou for his broken leg. The money received is known as

A. compensation
B. commission.
C. premium.
D. indemnity.

44. The size of profit of a business is measured by the

A. closing stock.
B. opening stock.
C. total purchase
D. rate of turnover.

45.Industrial occupation does not involve the

A. growing and extraction of raw materials-
B. use of machi
C. construction and manufacturing of goods.
D. movement of people and goods

46. The abbreviation E & O. E. on an invoice seeks to

A. draw the attention of the buyer to the contents of the document.
B. show that there is no error about prices quoted on the invoice.
C. protect the seller against any error on the document.
D. draw the attention of the seller to the contents of the document

47. The functions of credit and thrift society does not include

A. charging low interest rate on loan
B. providing saving: facilities.
C. encouraging mutual co-operation of members.
D. providing security for members’ pro

48. Throwing cargo over board in order to save a ship from sinking is

A. jettison.
B. abandonment
C piracy flotsam
D. flotsam

49. The document in which the full details of goods and the ship carrying the goods are contained is known as

A bill of exchange.
B. bill of sight.
C. certificate of origin.
D. shipping advice note.

50. The exclusive right of an author over his book is

A. Trade mark.
B. Brand name
C. Copy right
D. Patent right