2014 JAMB COMMERCE PAST QUESTIONS AND ANSWERS Leave a Comment / Jamb Commerce / By Jamb Tutor Report a question What’s wrong with this question? You cannot submit an empty report. Please add some details. 0% 0 votes, 0 avg Created by Jamb TutorJamb Commerce 2014 JAMB COMMERCE PAST QUESTIONS AND ANSWERS 1 / 50 Category: Jamb Commerce 2014 1. Which Question Paper Type of Commerce is given to you? a) Type F b) Type E c) Type C d) Type S The question paper type is essential for organizing exams to ensure students receive the correct version for fair assessment. 2 / 50 Category: Jamb Commerce 2014 2. Cooperation and friendliness are enhanced among nations through interdependence necessitated by a) tourism b) commerce c) agriculture d) socio-cultural activities Interdependence among nations often arises from commerce, which enables trade and mutual benefit, fostering cooperation. 3 / 50 Category: Jamb Commerce 2014 3. One of the products of an extractive industry is a) an air plane b) an iron ore c) a shoe d) a textile material Extractive industries focus on raw materials like minerals; iron ore is a primary extractive product. 4 / 50 Category: Jamb Commerce 2014 4. The payment for direct service is usually made by the a) local authority b) community c) government d) individual Direct services are generally paid by individuals who receive them directly rather than a community or government. 5 / 50 Category: Jamb Commerce 2014 5. An important feature of land is that a) it has an elastic supply b) is an active factor of production c) is heterogeneous in nature d) is subject to returns to scale Land is unique in supply as it is fixed and does not grow with demand, contrasting with factors like labor. 6 / 50 Category: Jamb Commerce 2014 6. One of the major determinants of the volume of production is a) the market size b) the availability of banks c) sex distribution d) government Market size directly influences production volume; higher demand drives greater production. 7 / 50 Category: Jamb Commerce 2014 7. Mrs. Jones, who lives in the riverine community of Rivers State, makes her living through crabbing and fishing. This type of occupation she is in a) commercial b) manufacturing c) service d) extractive This describes extractive occupation, involving gathering natural resources like fish, which is part of extractive activities. 8 / 50 Category: Jamb Commerce 2014 8. To eliminate middlemen, there should be a retail outlet such as a) producer co-operative b) consumer co-operative c) multiple shop d) department Consumer cooperatives are retail outlets directly connecting producers to consumers, reducing reliance on middlemen. 9 / 50 Category: Jamb Commerce 2014 9. The document issued by a port authority for goods deposit is a) bill of lading b) bill of sight c) consular invoice d) warehouse warrant A warehouse warrant is issued for goods storage, allowing claims on stored goods. 10 / 50 Category: Jamb Commerce 2014 10. The document submitted to the customs authority when full description of imported goods is not provided is a) a bill of sight b) an invoice c) an indent d) bill of interest A bill of sight allows goods to enter customs without full documentation, with further inspection required. 11 / 50 Category: Jamb Commerce 2014 11. The role of customs and excise authority includes a) control of flow of goods in and out of the country b) control of security agents within the borders c) provision of dockyards for repairs and maintenance d) provision of transport systems to facilitate imports and exports Customs control the import/export flow, which is crucial for national economic management. 12 / 50 Category: Jamb Commerce 2014 12. A document recording the transactions of an organization with its customers for a specified period, which normally shows the indebtedness of one to the other is a) statement of account b) consular invoice c) proforma invoice d) statement of affairs A statement of account summarizes transactions, showing balances due between parties. 13 / 50 Category: Jamb Commerce 2014 13. In response to an inquiry from a customer, a wholesaler is expected to send back a) consignment note b) an order c) a quotation d) an advice note A quotation provides price and quantity information requested by a customer. 14 / 50 Category: Jamb Commerce 2014 14. A carton of noodles valued at ₦2,000 was invoiced at ₦200 only. The accounting procedure to correct this error is to issue a) an invoice for ₦2,000 b) a debit note ₦2,000 c) a credit note ₦1,800 d) a debit note ₦1,800 A debit note of ₦1,800 corrects underbilling, ensuring the customer pays the accurate total. 15 / 50 Category: Jamb Commerce 2014 15. Tourists with no fixed address in a town may receive their letters from the post office through a) post restante b) parcel post c) private mail bag d) recorded delivery Post restante allows letters to be held at the post office for tourists to collect. 16 / 50 Category: Jamb Commerce 2014 16. Endowment policy in insurance business is an aspect of a) Accident Insurance policy b) Fidelity Guarantee Insurance Policy c) Motor Vehicle Insurance Policy d) Life Assurance Endowment policies relate to life assurance, covering life risks while accumulating savings. 17 / 50 Category: Jamb Commerce 2014 17. Insurance against burglary is an example of a) Indemnity Insurance b) Fidelity Guarantee Insurance c) Non-Insurable Risk d) Non-Indemnity Insurance Burglary insurance provides indemnity, compensating for losses by theft. 18 / 50 Category: Jamb Commerce 2014 18. The principle which requires the insurance company to disclose to the proposer all material facts of the risks to be covered is a) subrogation b) proximate cause c) uberrimae fidei d) contribution Uberrimae fidei, or utmost good faith, mandates full disclosure in insurance agreements. 19 / 50 Category: Jamb Commerce 2014 19. The insurance principle that allows an insurance company to take over the rights of the insured once he has been compensated is a) indemnity b) proximate cause c) utmost good faith d) subrogation Subrogation lets insurers assume rights to recover losses after compensating insured parties. 20 / 50 Category: Jamb Commerce 2014 20. A trader who experienced loss through fire can be restored by a) insurance company b) a trade association c) the bank d) an advertising agency Insurance companies offer coverage for traders, compensating for fire damage. 21 / 50 Category: Jamb Commerce 2014 21. The distribution of petroleum products in Nigeria is through a) rail b) sea c) road d) air Petroleum distribution in Nigeria primarily utilizes pipelines for efficient transportation. 22 / 50 Category: Jamb Commerce 2014 22. The deliberate effort geared towards discarding some cargoes in order to lighten the vessel is a) caveat emptor b) uberrimae fidei c) demurrage d) jettison Jettison involves discarding cargo during emergencies to reduce vessel weight and improve stability. 23 / 50 Category: Jamb Commerce 2014 23. The major aim of establishing a public corporation is to a) establish a monopoly b) provide essential services c) provide employment opportunities d) encourage specialization Public corporations are formed to provide essential services unavailable through private entities. 24 / 50 Category: Jamb Commerce 2014 24. The coming together of a manufacturing business with a firm that markets its products is a) backward integration b) consortium c) forward integration d) a syndicate Forward integration links production with direct market access, enhancing supply chain control. 25 / 50 Category: Jamb Commerce 2014 25. An association of voluntary organizations that work together for a common aim while retaining their independence is a a) syndicate b) merger c) cartel d) consortium Consortia unite independent organizations for shared goals, enhancing resource pooling without merging operations. 26 / 50 Category: Jamb Commerce 2014 26. The document that explains the types of shares available for sale to the public is a) prospectus b) an invoice c) an indent d) a closed indent A prospectus provides potential investors with essential information about available shares. 27 / 50 Category: Jamb Commerce 2014 27. Which of the following attracts only interest but leaves the capital unpaid? a) a long-term loan b) a development bond c) a redeemable bond d) an irredeemable bond Irredeemable bonds incur interest payments only, with no obligation to repay principal. 28 / 50 Category: Jamb Commerce 2014 28. A loan to a customer with a cheque account at a bank in which the account is allowed to go into debit is a) overdraft b) advance c) interest d) commission An overdraft facility allows account holders to overdraw, effectively borrowing. 29 / 50 Category: Jamb Commerce 2014 29. Part payments made on allotted shares by subscribers is usually a) Subscribed Capital b) Authorized Capital c) Issued Capital d) Called-up Capital Called-up Capital is the portion of issued shares for which payment is required by shareholders. 30 / 50 Category: Jamb Commerce 2014 30. The net profit is the excess of gross profit and sources of income over all the expenses. This implies that net profit is a) the difference between gross profit and trade expenses b) the difference between gross profit and net sales c) sales less cost of sales including sales returns d) opening stock minus closing stock Net profit results from subtracting total expenses from gross profit and income, reflecting actual earnings. 31 / 50 Category: Jamb Commerce 2014 31. A form of money with a face value which is greater than the value of the metal content is a) legal tender b) bank notes c) token money d) commodity money Token money has a nominal value exceeding the value of its materials, typical in modern currency systems. 32 / 50 Category: Jamb Commerce 2014 32. An agent who transacts business with the broker in the stock exchange is a a) stag b) bull c) del credere d) jobber A jobber deals directly with brokers in stock exchange transactions, focusing on trade matching. 33 / 50 Category: Jamb Commerce 2014 33. A document sent by a broker to his client to confirm a purchase or sale made on his behalf is a) delivery note b) consignment note c) transfer form d) contract note A contract note verifies transactions executed by a broker for a client, detailing terms and conditions. 34 / 50 Category: Jamb Commerce 2014 34. Cum div differs from ex div in that, the latter a) entitles the purchaser to receive a company's current dividend b) entitles the vendor to receive the company's current dividend c) confirms a purchase or sale made on behalf of a shareholder d) is a document used to transfer ownership of shares Ex div status entitles the seller to dividends, while cum div entitles buyers. 35 / 50 Category: Jamb Commerce 2014 35. The payment made by a speculator to the buyer when he is unable to deliver stocks on the agreed date is a) arbitrage b) franco c) contango d) bearer Contango is compensation for failing to deliver stocks as scheduled, covering buyer inconvenience. 36 / 50 Category: Jamb Commerce 2014 36. Which of the following regulates and controls the activities of the Nigerian Stock Exchange? a) BPB b) SEC c) NDIC d) CBN SEC, or the Securities and Exchange Commission, oversees Nigerian stock market operations and practices. 37 / 50 Category: Jamb Commerce 2014 37. The principle of management that emphasizes the subordination of subordinates under the direct supervision of a manager is a) span of control b) unity of command c) scalar chain d) unity of direction Unity of command asserts a single line of authority, fostering clear management direction and responsibility. 38 / 50 Category: Jamb Commerce 2014 38. Marketing differs from selling in that, the latter only creates a) possession utility b) marginal utility c) form utility d) place utility Selling focuses on possession utility, transferring ownership; marketing encompasses broader value creation. 39 / 50 Category: Jamb Commerce 2014 39. A business which focuses attention on the quality of the goods produced by precisely knowing what the consumer’s desire is said to be operating the a) product mix b) promotion mix c) market in concept d) production mix Product mix involves aligning goods with consumer needs, ensuring quality and relevance in the market. 40 / 50 Category: Jamb Commerce 2014 40. The physical and psychological satisfaction a customer derives from the purchase of goods and services is a) price mix b) product mix c) marketing mix d) promotion mix Marketing mix aims to maximize customer satisfaction through quality, price, promotion, and place strategies. 41 / 50 Category: Jamb Commerce 2014 41. Which of the following aspects of marketing stimulates buying by providing free gifts? a) Personal selling b) Sales promotion c) Advertising d) Publicity Sales promotion includes strategies like free gifts to incentivize purchases and enhance customer loyalty. 42 / 50 Category: Jamb Commerce 2014 42. Which of the following is used as a pricing policy? a) Labelling b) Packaging c) Market skimming d) Market segmentation Market skimming sets high initial prices for unique products, capturing premium market segments first. 43 / 50 Category: Jamb Commerce 2014 43. Mr. Taiwo entered into a contract to let a car to Mr. Bunni for his wedding for two days. However, the car had an accident before the first day. Mr. Bunni attempted to claim damages but failed. This implies that the contract was terminated by a) bankruptcy b) frustration c) breach d) lapse of time Frustration voids contracts when unforeseen events make performance impossible, such as a car accident here. 44 / 50 Category: Jamb Commerce 2014 44. Hire purchase is advantageous to the seller in that a) it elevates his living standard b) his turnover will increase c) people pay in instalments d) it enhances his level of patronage Hire purchase enhances turnover and sales, allowing buyers to pay in installments and increasing affordability. 45 / 50 Category: Jamb Commerce 2014 45. The difference between a factor and a broker is that a) a broker is a licensed agent while a factor is not b) a factor sells goods on auction c) a factor assumes ownership of the goods d) a broker owns the goods Factors assume ownership and sell goods, unlike brokers who only facilitate transactions on behalf of others. 46 / 50 Category: Jamb Commerce 2014 46. A contract which is devoid of legal effect is a) a void contract b) an unenforceable contract c) a voidable contract d) a valid contract A void contract lacks enforceability due to issues such as illegality or lack of necessary components. 47 / 50 Category: Jamb Commerce 2014 47. The three functional units of a modern computer are a) input, process, and output units b) processor, FORTRAN and output units c) black box, output, and input units d) BASIC, COBOL, and input units The core computer functions are input, processing, and output, forming the basic computing cycle. 48 / 50 Category: Jamb Commerce 2014 48. Which of the following computers can be used in weather forecast? a) Hybrid computer b) Digital computer c) Mainframe computer d) Analog computer Analog computers are used for simulations in complex fields like weather forecasting due to their precision. 49 / 50 Category: Jamb Commerce 2014 49. A Digital Versatile Disk is an example of a) file transfer protocol b) computer storage device c) transmission control protocol d) microprocessor A DVD is a computer storage device used to store large amounts of data, including multimedia. 50 / 50 Category: Jamb Commerce 2014 50. The social responsibility factor of an organization is geared towards contributing to the sustenance and development of its host communities by operating without disrupting the a) essence of the environment b) tackling the socio-economic problems of the state c) meeting the needs and demands of shareholders d) meeting the needs and demands of the government Companies strive to balance profitability with environmental preservation, supporting local community sustainability. Your score is The average score is 0% LinkedIn Facebook Twitter VKontakte 0% Restart quiz Anonymous feedback Send feedback
