2010 JAMB COMMERCE PAST QUESTIONS AND ANSWERS

Each candidate receives a unique question paper type. This ensures fair and consistent assessment by randomizing questions. Answer depends on the provided type (e.g., A, B, C, or D), with no correct answer for practice sets without context.

Wealth is primarily influenced by commercial activities, as they fuel trade and economic growth. Bilateral and multilateral trade add value, but the stock market alone doesn’t define national wealth, making “commercial activities” the most inclusive answer.

Skilled labor requires specific training or education, whereas unskilled labor does not. Education differentiates skill levels, while commitment and wages are variable factors.

Attending to patients outside official duties is an indirect service as it benefits the community, categorizing the doctor as both a direct and indirect service worker, blending professional and community services.

Manufacturing and construction transform raw materials, thus falling under secondary production, distinct from primary (resource extraction) and tertiary (services).

This sequence highlights capital (interest), labor (wages), land (rent), and entrepreneur (profit). Each factor of production has its corresponding reward.

Capital assets like machinery depreciate over time, unlike land, which does not. Depreciation affects productivity, reducing asset values over time.

Specialization, a result of labor division, improves efficiency by assigning workers to tasks that match their skills. Other options do not result directly from division.

Manufacturing, which processes raw materials, includes rice processing, different from construction, extraction, and commercial work.

Retailers typically offer after-sales service to support consumer needs post-purchase, distinguishing them from wholesalers and agents.

Self-service allows consumers to interact with products independently, promoting choice and accessibility, unlike after-sales and vending services.

Wholesaling involves bulk buying and smaller distribution, differing from retailing and merchandising, which are smaller scale.

Balance of payments includes visible (goods) and invisible (services) trade, while balance of trade focuses only on visible goods, making “balance of payments” the correct term.

An open indent allows importers flexibility, unlike closed indents or specific invoices that restrict choice.

Entrepot trade involves importing goods for re-export without domestic use, a distinct form of international trade.

A bill of lading is the legal document to claim goods, while other documents like dock warrants are not for claims.

An indent specifies goods requested by buyers, essential for clarity in international trade, unlike invoices that reflect transaction amounts.

Dumping involves pricing below production costs to gain foreign market shares, a competitive yet controversial strategy.

Marketing encompasses strategies to expand market reach, unlike repositioning, which adjusts brand perception.

Television advertising provides multi-sensory stimulation, making messages more memorable, compared to cost-focused media.

Registered mail secures delivery to the recipient, more reliable than other mailing methods, ensuring receipt confirmation.

Hull insurance protects the physical body of a ship, distinct from goods insurance policies, supporting maritime asset security.

A broker links clients to businesses without ownership of products, differing from auctioneers or del credere agents.

Lack of a comprehensive tourism master plan hinders organized growth, overshadowing other logistical issues.

A public warehouse is a government-controlled storage facility available for public use. Unlike private warehouses, public warehouses serve general commerce and are managed by government entities.

Partnerships lack corporate existence, as they aren’t legally separate entities from their owners, which makes mutual confidence crucial. This differs from corporations, where liability is limited, and member numbers are restricted.

A cartel is an agreement among firms to limit competition by controlling the market, different from syndicates and consortia, which focus on resource pooling and cooperation.

Capital is the issued amount, ₦36,000 in this case, as authorized capital represents the maximum amount, not actual use.

NACCIMA’s role includes advocacy on business interests, such as wage discussions, supporting long-term investments, and providing tariff information, focusing on member business health over labor uniformity.

Relative scarcity preserves money’s value by limiting availability, distinct from properties like divisibility, portability, and uniformity that don’t directly affect its value retention.

Stocks and debentures are key capital market instruments, distinct from treasury bills and bills of exchange, which are short-term tools.

Companies must offer at least 10% of equity to the public to qualify, a rule aimed at encouraging public ownership in medium firms, unlike requirements for smaller or closed firms.

Recruitment, selection, and appointment form the hiring process, where candidates are identified, evaluated, and hired, unlike placement, which follows hiring.

Delegation of authority allows officers flexibility, in contrast to unity principles, which are structural mandates.

Consumer orientation tailors marketing to consumer preferences, unlike loyalty programs, which aim to retain existing customers.

Variable pricing helps match consumer demand based on seasons, more effective than fixed pricing models in weather-sensitive products.

Public relations fosters goodwill by maintaining positive relations with the public, distinct from direct promotions that focus on sales.

Branding distinguishes a product from competitors, while trademarks and patents protect brand identity and inventions.

A voidable contract allows one party to withdraw if certain conditions are unmet, unlike valid or quasi-contracts, which have stricter enforcement.

An agency contract requires a principal and an agent, essential parties in this arrangement, excluding consumers or third-party producers.

Patent rights grant monopoly over an invention, unlike trademarks, which protect brand symbols.

Consumerism aims to protect consumer rights, fostering fair trade and quality, unlike offering choices or fulfilling needs, which are retail services.

A hard copy is the physical form of digital data, unlike soft copies or files, which remain electronic.

The CPU, or Central Processing Unit, is the computer’s main component for processing data, unlike peripherals like monitors or keyboards.

Poor network coverage limits internet access, affecting operations, in contrast to other issues like cost, which can be managed independently.

A modem connects computers to the internet, allowing data download, unlike storage devices like compact disks.

Automated Teller Machine facilitates banking, unlike other meanings that don’t capture the electronic service function of ATMs.

Building public health centers benefits the community, a direct responsibility, unlike internal-focused options like staff scholarships.