Thursday, 28 February 2019

JAMB PAST QUESTIONS AND ANSWERS ON COMMERCE 2017 (TEXT)


jamb past questions and answers on commerce 2017

1. The rate where a country's exports exchange for its imports is called __.

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

2. The use of coin-operated machines to sell goods is a form of __.
A.   mail-order selling
B.   personal selling
C.   retailer
D.   wholesaling

3. The insurance policy which provides full cover against all risks at sea is known as __.
A.   marine voyage policy insurance
B.   marine freight insurance
C.   policy free of particular average
D.   policy with particular average

4. The practices by which an insurance company accept a very large risk and latter shares it with other insurance companies is called __.
A.   contribution
B.   indemnity
C.   subrogation
D.   re-Insurance

5.  A machine which enables sales without the physical presence of a sales attendant is a __.
A.   vending machine
B.   computer machine
C.   fax machine
D.   telex machine

6. What document is required when a country imposes ad valorem import duties on goods?
A.   Consular invoice
B.   A bill of lading
C.   A shipping note
D.   A mail transfer

7. A business whose owners enjoy loan facilities on the basis of personal goodwill __.
A.   community bank
B.   co-operative society
C.   commercial bank
D.   thrifts society

8. Which of the following is not a veritable source of funds to a public limited liability company?
A. advances and loans from bank
B. government financial grants
C. funds from the sale of shares
D. internally generated funds

9. The term Plc implies that the shares are available __.
A.   publicity on the stock exchange
B.   publicity in commercial bank
C.   privately on the stock exchange
D.   to the public at the company

10. Which of these is both merit and demerit in partnership?
A.   Its unlimited nature
B.   The number of partners
C.   The withdrawal of a major of partner
D.   The bearing of risk.

11. A factor necessary for siting of a warehouse is nearness to
A.   labour
B.   capital
C.   consumers
D.   raw materials.

12. Pooling of risk in insurance means that __.
A.   two people can pool their risks to be insured
B.   compensation are paid out of a common fund
C.   insurance companies should encourage taking risks
D.   two insurance companies can buy two policies.

13. Which of the following countries are members of the Lake Chad Basin Commission?
A.   Benin and Nigeria
B.   Nigeria and Mali
C.   Niger and Cameroun
D.   Chad and Benin

14. A core investor in the current phase of privatization in Nigeria is one who __.
A.   has the technical know-how of the enterprises
B.   can mobilize foreign currency equivalent to the value of enterprises
C.   will be at the core of the enterprises
D.   can afford to buy most of the shares of the enterprises

15. The process of dividing tasks into jobs and departments and delegating authority is known as __.
A.   organizing
B.   staffing
C.   leading
D.   directing

16. Communication process involves the transmission of a message over a selected channel to the __.
A.   encoder 
B.   receiver
C.   audience
D.   sender

17. A transporter who had to sell perishable goods without the prior authority of the owner becomes an agent by __.
A.   estoppel
B.   conduct
C.   necessity
D.   ratification

18. Poor sewage disposal oil spill and indiscriminate refuse dumping all lead to __.
A.   land and water pollution
B.   air and water pollution
C.   land pollution
D.   water pollution

19. A major function of a Chamber of Commerce __.
A.   promoting both home and foreign trade
B.   increasing productivity
C.   maximizing profit 
D.   promoting trade in a particular

20. Which of the middle men in the channel of distribution has title to the goods he distributes?
A.   The retailer 
B.   The limited wholesaler
C.   The agents
D.   The merchant wholesaler

21. A seller attracts and retains patronage by __.
A.   rendering pre-sales services
B.   enhancing sales promotion
C.   render customer service
D.   enhancing public relations

22. A bond which attracts only interest but leaves the capital unpaid is referred to as __.
A.   a redeemable bond
B.   an irredeemable bond
C.   a long-term loan
D.   a development bond

23. An announcement of a person's willingness to enter into a contract is referred to as __.
A.   consideration
B.   an acceptance
C.   a proxy
D.   an offer

24. The macro-environmental forces and trends which are a constraint on business operations are referred to as __.
A.   external factors
B.   internal factors
C.   economic factors
D.   technological factors

25. A proposed company may not be registered if __.
A.   it has no paid up capital
B.   it has no asset of its own
C.   it does not put “limited” after its proposed name
D.   the name conflicts with that of another.

26. An example of a cartel is __.
A.   EU
B.   AU
C.   OPEC
D.   ECOWAS

27. In which of the following will the number of words used determine the cost of message sent?
A.   E-mail
B.   Telex
C.   Telegram
D.   Telephone

28. The Transmission of telephone services from one country to another is facilitated by __.
A.   international facility
B.   communication satellite
C.   internet services
D.   interconnectivity


29. After-sales service is a function usually rendered by __.
A.   an entrepreneur
B.   an agent
C.   wholesale
D.   a retailer

30. The activity which entails buying of goods in bulk and selling in small quantities to retailers is __.
A.   wholesaling
B.   assembling
C.   retailing
D.   merchandising

31. An individual that links the producer with the retailer is 
A.   a principal
B.   an agent
C.   an entrepreneur
D.   a wholesale

32. One of the functions of a retailer is the __.
A.   breaking of bulk
B.   financing of production activities
C.   provision of credit facilities to relations
D.   provision of jobs for customers

33. The type of letters that are delivered through the normal mail or by airmail express service is referred to as __.
A.   airmail letters
B.   inland letters
C.   registered letters
D.   express letters

34. A business organization that exploits the capabilities of a member to remedy the weaknesses of another is a __.
A.   co-operative
B.   joint venture
C.   partnership
D.   nominal partnership

Use the table below to answer question 35 and 36.

jamb past questions and answers on commerce 2017

35. If Mr. N. takes a fire insurance policy with average clause, his compensation will be __.
A.   ₦70,000
B.   ₦75,000
C.   ₦5,000
D.   7,500

36. What insurance principle has Mr. R violated if he decides to overstate the actual value of his property?
A.   Uberrimae fidei
B.   Subrogation
C.   Indemnity 
D.   Insurable interest

37. Insurance against burglary is an example of __.
A.   non-indemnity insurance
B.   fidelity guarantee insurance
C.   non-insurable risk
D.   indemnity insurance

38. The principle which requires the insurance company to disclose to the proposer all material facts of the risk to be covered is __.
A.   contribution
B.   subrogation
C.   proximate cause
D.   uberrimae fidei

39. The document that explains the types of shares available for sale to the public is __.
A.   an invoice
B.   an open indent
C.   a closed indent
D.   a prospectus

40. Which of the following attracts only interest but leaves the capital unpaid?
A.   A redeemable bond
B.   a long-term loan
C.   a development bond
D.   an irredeemable bond


ANSWERS

1. B

2. C

3. A

4. D

5. A

6. C

7. D

8. B

9. A

10.B

11.C

12.B

13.C

14.D

15.A

16.B

17.C

18.B

19.A

20.D

21.C

22.B

23.D

24.A

25.D

26.C

27.C

28.B

29.D

30.A

31.D

32.A

33.A

34.A

35.D

36.A

37.D

38.D

39.D

40.A