2013 JAMB COMMERCE PAST QUESTIONS AND ANSWERS

This question simply asks the candidate to identify the type of question paper. Since question papers come in various types to prevent cheating, it’s essential to mark correctly.

This question distinguishes between types of labor. Physical effort in production is termed “unskilled labor,” as it doesn’t require specialized knowledge or training.

Assembling products into usable forms is termed “manufacturing,” which is the process of producing goods ready for sale from raw materials.

The last link in distribution is “consumer retailing,” where goods reach the end users or customers, completing the distribution cycle.

An unfavorable balance of trade occurs when “visible imports exceed visible exports,” meaning the country imports more goods than it exports.

“Terms of trade” refers to a country’s trading position, showing the ratio between export and import prices. It reflects economic relations with other countries.

Customs control the “flow of goods in and out of the port” by monitoring imports and exports, ensuring compliance with trade regulations.

A “ship manifest” lists the ship’s cargo and details, required by customs for clearance before departure, ensuring legal trade compliance.

A “consular invoice” certified by an ambassador confirms shipment details, ensuring goods comply with destination regulations.

Terms of trade improve when export prices increase relative to imports, indicating favorable trade and economic gain.

“Print media advertising” like newspapers and magazines target literate individuals who can read, unlike other media accessible to all.

“Verbal and non-verbal” are fundamental communication forms, including spoken and unspoken methods like gestures or body language.

“Courier services” offer fast, secure, and efficient document delivery, crucial for urgent communications compared to regular post.

A “fidelity guarantee” assures trustworthiness and honesty, often provided in employment to safeguard against potential misconduct.

The average clause in insurance means claimable value depends on actual loss; hence, N47,500 might be claimable if proportional loss occurred.

“Indemnity” principle ensures no profit from insurance claims; overstating property value violates this, aiming for undue compensation.

Non-indemnity insurance, like life insurance, offers fixed benefits regardless of exact loss, unlike indemnity which matches loss incurred.

Warehousing assists in “repackaging goods” for easier distribution, holding stock until needed in the market, enabling steady supply.

A sole trader may “seek a bank loan” to inject more funds without external investors, maintaining control over the business.

A “dormant partner” invests capital yet remains uninvolved in daily operations, earning a passive return on investment.

“Rights of shareholders” are typically outlined in Articles of Association, while other clauses define the company’s identity and objectives.

“Issued share capital” is the portion of authorized capital that investors agree to pay, different from registered or working capital.

With a turnover rate of 5 and average stock of N12,500, turnover equals N62,500 (N12,500 x 5), showing business efficiency.

The “Legal Practitioners’ Disciplinary Committee” has authority to disbar lawyers for unethical practices, such as defrauding clients, to maintain professional integrity.

The Nigerian Communication Commission organizes parameters to “protect consumer interests,” ensuring fair pricing, quality service, and safeguarding against exploitation.

“Chambers of Commerce” facilitate trade fairs, providing a platform for businesses to display products and network, boosting economic activity.

The “Central Bank” oversees and regulates monetary policies, ensuring currency stability and economic growth within Nigeria.

Money’s “function as a medium of exchange” makes it universally accepted for transactions, facilitating trade and economic exchange worldwide.

“Acceptability” is crucial, meaning money must be widely accepted in exchange for goods and services, unlike items that lack universal appeal.

Money acts as a “measure of value,” allowing the comparison and valuation of goods and services, facilitating trade and economic transactions.

“Trade Unions” contribute to manpower management, advocating for fair labor practices, worker rights, and healthy working conditions.

“Planning” is a primary managerial function, involving setting goals and defining the course of action needed for effective operation.

“Line structure” suits smaller enterprises, providing clear authority lines and efficient decision-making channels without complex layers.

Appointing a specialist as an “adviser” provides expert guidance in specific areas, assisting management decisions and strategy.

Developing transportation is about “distribution of services,” enabling access and availability of goods to meet consumer needs.

“Market Skimming” sets high prices initially to maximize profit from early adopters, gradually lowering as demand becomes less exclusive.

“Core benefit” refers to the fundamental value a product offers, like a car’s transportation ability, fulfilling the primary consumer need.

“Segmentation” divides a market into sub-groups, allowing targeted marketing strategies that appeal to specific consumer needs and characteristics.

A “Factor” agent, authorized to sell goods on behalf of a principal, earns commissions based on sales performance, acting independently.

Discharging a contract by “performance” means fulfilling all agreed terms; thus, selling to Mr. Y doesn’t discharge Mr. X’s contract fully.

“Frustration” legally ends a contract due to unforeseeable circumstances, making performance impossible, releasing parties from obligations.

A “lien” grants sellers the right to hold goods until payment, ensuring financial protection if the buyer defaults.

“Copyright” grants authors exclusive publishing rights, preventing unauthorized copying, ensuring ownership of intellectual property.

“Downloading” involves transferring data from a server to a local device, a common method of accessing digital information from the internet.

“Hardware” encompasses the tangible parts of a computer like the keyboard, mouse, and monitor, essential for system functionality.

An “input device” like a keyboard or scanner retrieves data for processing, allowing user interaction with the system.

“Database” software stores, manages, and organizes information, assisting in decision-making processes within organizations.

A “password” ensures data security, preventing unauthorized access to sensitive information, a standard cybersecurity measure.

“Technology” significantly influences business operations, enhancing efficiency, production capacity, and market reach.

“Air pollution” spreads widely and is challenging to manage, often resulting from industrial emissions, vehicles, and other widespread sources.