Commerce Questions and Answers
Test and improve your knowledge of the fundamentals of buying and selling with these Commerce past questions and answers.
Test and improve your knowledge of the fundamentals of buying and selling with these Commerce past questions and answers.
The circulating capital of a business enterprise is classified into
Cash, work-in-progress and debtors
Cash, Vehicles, land and building
debtors, stocks of raw materials and fitting
Prepayments, debtors and equipment
Correct answer is A
circulating capital is the amount of many used for day-to-day running of the business. It is the capital available to a firm for general purpose after current liabilities have been deducted. It is the excess of current liabilities over the current liabilities
debenture
a bond
a term loan
an overdraft
Correct answer is A
It is a debenture that is grow under a seal by company in acknowledgement of a debit undertaking to repay the stated amount or sum on or before a certain date and to pay a fixed rate of interest. There are redeemable and irredeemable debenture
The difference between a private are public limited liability company is that the former
Is unable to declare and pay dividend.
Has a higher number of share holder
Is unable to offer shares to the public.
pays higher salaries to its member
Correct answer is C
Private limited liability company do not issue shares to the public while public limited liabilities company does allow members of the public to subscribe to its shares.
The external environmental factors that affect a business cooperation are
Economic, Social and legal
Political, Culture and Labour
Competition, Labour and Political
Competition, Industry and Product.
Correct answer is A
These Economic, social and legal elements affect the operation of business externally. If a business wants to be successful in the marketplace, it is necessary for them to fully understand what factors exert impact on the development of their enterprise.
The forum for the selling and buying of securities of small and medium companies is called.
Securities and Exchange Commission
Second tier Security Market
Foreign exchange Market
Second tier foreign Exchange market
Correct answer is B
Second-Tier Securities Market (SSM); A second market established by The Stock Exchange in Lagos in 1985 to list the securities of smaller companies which are unable to meet the requirements for listing on the more stringent segment (main market) of the Exchange.It is a market for buying and selling shares of small and medium scale companies,