Document

1. A price quotation which includes all the expenses involved in the the loading of goods into ship is
A Free on Board (FOB)
B Free Alongside Ship (FAS)
C. Cost, Insurance, Freight (C.I.F.)
D. Ex-ship.

2. Shares, bonds, stocks and debentures traded on the stock exchange are collectively called

A. Collaterals
B Commodities
C. resources
D. Securities.

3. In a hire purchase contract, the customer becomes the legal owner of the goods by

A. paying the last instalment
B. paying the first instalment
C. taking possession of goods
D. paying half the purchase price.

4. Which Of the following is engaged in commercial occupation?

A. A brick layer
B. An engineer
C. An insurance broker
D. A barber.

5.”Net 3″ months” on an invoice means the buyer will

A. pay interest after months
B. get discount if he pays within 3 months
C. pay full invoice amount after 3 months
D. have discount if he pays after 3 months.

6. The ratio between a country’s exports and her imports prices is the

A. balance of trade
B. balance of payments
C. terms of trade
D. exchange rate.

7. The charge paid to a ship owner for the unused part of a ship is known as

A. penalty
B. dock dues
C. dead freight
D. demurrage.

8. Fidelity guarantee insurance will only cover

A cashier’s fraud
B. dayling robbery
C. loss of profit
D. unpaid loan.

9 In the absence of the bill of lading, which of the following is used to clear the goods?

A. Bill of sight
B. Dock warrant
C. Certificate of origin
D. Mate’s receipt.

10. A system of sales, where goods are sold to the highest bidder is known as

A. credit sale
B. hire purchase
C. clearance sale
D. auction sale.

11. The term “Fiduciary issue means

A. money issued without gold backing
B. money issued with gold backing
C. money issued as currency note
D. gold reserve.

12. An insurance principle which prevents an insured from making profit when compensated is known as

A. proximate cause
B. indemnity
C. insurable interest
D. utmost good faith.

13. A retail outlet with many branches all dealing in similar line of goods is described as a

A. department store
B. supermarket
C. chain store
D. hypermarket.

14. The person who gave his building as a security for loan is knowns as a

A. trustee
B. mortgagee
C. mortgagor
D. guarantor.

15, A firm that specializes In packing and shipping of goods is known as a

A. forwarding agent
B. general agent
C. del credere agent
D. cargo handling company.

16. Which of the following is a function of marketing department in a firm?

A. Add value to goods and services
B. Protect those who engage in business transactions
C. Initiate general policies in the organization
D. Handle all staff matters in the business.

17. An Individual or company that engages in the transportation of any type of goods for a fee is called a

A. Common carrier
B. hawker
C. porter
D. clearing agent.

18. Debentures which are secured by the fixed assets of a company are called

A. Mortgaged Debentures
B. Naked Debentures.
C. Redeemable Debentures
D. Irredeemable Debentures.

19. The central bank sometimes calls for special deposits from the commercial banks in order to

A. reduce bank lending
B. increase bank lending
C. withdraw defaced currencies
D. issues new notes and coins.

20 A principal member of the stock exchange who buys and sells securities on his own is a

A. jobber
B. promoter
C. broker
D. speculator.

21. Consumer protection places an obligation on producers to ensure that their products are wholesome are cheap

C. do not evade customs examination
D. are branded.

22. The target for all marketing activities is the
A consumer
B. middleman
C. producer
D. distributor.

23. Small scale retailers continue to exist in spite of the dominance of large firms because they

A. render service.
B. employ few salesmen
C. can raise large capital from relatives D. deal in goods.

24. Buildings and machinery purchased for use in business are example of

A. current assets
B. fixed assets
C. employed
D. paid up capital.

See pages for table

Use the following Information to answer questions 25 and 26. Olumide bought shares in a company with the following information: Authorized capital issued capital N500,OOO

25. If the shares are offered to him at Nf. 15. The share is sold Normal value N450,OOO at Market price NI.OO

A. per value
B. a discount
C. face value
D. a premium.

26. Calculate the number of unissued shares of the company NI.20

A. 950,000 shares
B. 50,000 shares
C. 450,000 shares

27. The throwing of goods over board to prevent a ship from sinking is known as

A. floatsame
B. abandonment
C. jettison
D. particular average.

28. In insurance, risks that have no statistics for their calculations are

A. insurable risks
B. certain risks
C. uninsurable risks
D. un-certain risks.

29. The practice entrepot of trade selling

A. entrepot trade
B. goods dumping in foreign
C. hedging countries
D. counter at lower trade. prices than obtainable in the exporting Country is known

30. The entertainment industry is classified under

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

31. Buying on impulse is encouraged by

A. co-operative shops
B. hawkers
C. supermarkets
D.Email order firms.

32. A fixed deposit account is beneficial to its holders because

A. cheques can be issued to settle huge debts
B. customers can become shareholders of the bank
C. it attracts higher interest rate
D. it allows Customers to overdraw their accounts.

33. An amount paid by a bull who wishes to defer the purchase of share to the next accounting period is

A. brokerage
B. backwadation
C. contango
D. commission.

34. Foreign trade is concerned with range

A. exchange of good and services among companies
B. buying and selling imported goods
C. exchange of goods and services among citizens
D. buying and selling for goods and se among countries.

35. The distribution of goods creates

A. time utility
B. place utility
C. form utility
D. possession utility.

36. The documents issued by the Registrar of companies which allows a public company to commence business called

A. trading certificate
B. prospectus
C. certificate of incorporation
D. memorandum of association.

37. A cheque bearing a date showing that it was issued more than six months ago is termed a

A. blank cheque
B bearer cheque
C. stale cheque
D. order cheque.

38. A system of buying products from a machines is known as

A. impulse buying
B. branding
C. automatic loss leader.
D.loss leader

39. Carpentry is an activity classified under

A. extractive occupation
B. tertiary occupation
C. commercial
D. constructive occupation.

40. A system of buying goods by an agent where the supplier is determined by the principal is

A tied shop
B. closed indent
C. open indent
D. ring trading.

41. One of the functions of a central bank is to

A. perform supervisory role over all the banks in the country
B. Provide the means of payment to individuals
C. ensure the smooth transfer of shares
D. accept private deposits.

42. The issue of Certificate of Incorporation to a company means that it has

A. started production
B. legally come into being
C. appointed a board of directors
D. merged with another company

43. The part of authorized capital of a company sold to share-holders is

A. paid-up capital
B. called-up capital
C. issued capital
D. nominal capital.

44. A person who contributes money to a partnership business and is also involved in its general supervision is

A. an active partner
B. a limited partner
C. a dormant partner
D. a normal partner.

45. A business obtains part of it short-term capital from

A. bonds
B. debentures
C. trade credit
D. ordinary shares.

46. A postal service that allows a company’s customers to reply to its advertisement at the expense of the company’s

A. recorded delivery service
B. post restante
C. express delivery service
D. business replay service.

47. A voluntary association which consists of people who represent a cross section of business interest in an area M

A Trade Association
B. Trade Union
C. Chamber of Commerce
D. Consumers’ Association.

48. When a ship overstays the allowed number of days at the port, it is made to pay

A. interest
B. tariff
C. demurrage
D. commission.

49. The place where bankers meet daily to exchange cheques drawn on each other is known as

A capital market
B money market
C. clearing house
D. discount house.

50. An advertising campaign designed to sell one’s own products at the expense of other brands is

A. competitive
B persuasive
C. direct
D. informative.