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 difference between current assets and current liabilities is
Issued capital
capital employed
working capital
nominal capital
Correct answer is C
The difference between current asset and current liability is known as working capital which represents operating capital
A personal computer on sale in an office equipment shop is an example of
stock
fixed asset
liability
fixed capital
Correct answer is A
stock refers to the goods on hand which is to be sold to customers. The computer system is a stock
Public enterprises are financed mainly by
the shareholders
commercial banks
government grants
mortgage banks
Correct answer is C
Public enterprises are financed by direct government finance, in the form of equity, credit, or subsidy capital
Which of the following is a feature of supermarkets?
Gives credit to reliable customers
Specializes in one line of product
Goods are on display with price tags
Does not have to provide storage facilities
Correct answer is C
One distinguishing characteristics of Supermarkets is the display of varieties of goods including other non-food items such as medicines, cosmetics, ready-made garments, household goods with price tags clearly stated
The various rights attached to different classes of shares are stated in the
articles of association
memorandum of association
balance sheet
prospectus
Correct answer is A
The Articles of Association (AoA) is a document that defines the purpose of a company and specifies the regulations for its operations. It states the internal affairs of the company like share of profit. capital contributed, rights of different classes of shares.