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.
Which of the following factors is not to be considered in starting a retail trade?
Size of the business
Nature of the business
Amount of capital required
Level of tax payable
Correct answer is D
No explanation has been provided for this answer.
buy from many manufacturers
maintain personal relationship with customers
stock only one line of goods in their stalls
do not separate business money from personal money
Correct answer is B
Small scale retailers are also called fixed shop retailers. They have fixed shops of their own and hold small stocks located in market areas or residential places.
They attend to customers personally and cater to their individual tastes and needs.,therby building a good customer-seller relationship
Which of the following describes the reason for international trade
Balance of payment
Comparative cost advantage
Absolute cost advantage
Balance of trade
Correct answer is B
Comparative advantage is an economic term that refers to an economy's ability to produce goods and services at a lower opportunity cost than that of trade partners. Countries mainly enter into international trade to buy goods and services that they would normally produce at a higher cost compared to buying it from another country that is producing it a relatively low cost
If a businessman wants to insure against dishonesty of the cashier, he will take
burglary policy
an employer's liability cover
a fidelity guarantee cover
a consequential loss policy
Correct answer is C
Fidelity Guarantee insurance; This is cover which protects your organisation against the loss of money and/or property which you may suffer as a result of a dishonest or fraudulent act by an employee or volunteer.
Which of the following can quote its shares on the stock exchange
Partnership
Sole-proprietorship
Co-operative society
Public limited company
Correct answer is D
Public limited company; is a company whose securities are traded on a stock exchange and can be bought and sold by anyone.