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.
Warehousing is a productive function because it increase the
quantity of goods
utility of goods
quality of goods
price of goods
Correct answer is A
Warehousing allows for timely delivery and optimized distribution, leading to increased labor productivity and greater customer satisfaction. With warehousing, producers can produce as much goods as the market require, store them and distribute when the demand for it arises.
Bank Giro is a method of settling debt from a
customer to a bank
bank to customer
customer to another
bank to another
Correct answer is A
No explanation has been provided for this answer.
If Mr. Bacus fulfills his promise, he will be entitled to a cash discount of?
N2,760
N3,000
6,500
9,500
Correct answer is B
No explanation has been provided for this answer.
N4,500
N7,500
N10,500
N12,000
Correct answer is B
A cash discount is a discount allowed to the customer, when he/she makes a cash payment of the goods purchased, within the stipulated time. This means Mr. Bacus will receive a 2% discount from Mr. Awala if payment is made within 10 days of purchase.
We are going to calculate the quantity discount and cash discount respectively.
Selling price = 100
Quantity bought on credit = 1500
Total amount owed = 100 x 1500 = 150,000
3% discount for 1500 units
0.03 x 1500 = 45
Quantity discount = 45 x 100 = 4500
Cash discount of 2/10 net 30
= \(\frac{2}{100}\) x 150,000 = 3000
4500 + 3500 = 7500
The major procedures in the purchase and sale of goods are enquiry
quotation, order and invoice
placement, order and invoice
bargin, order and invoice
order, sale, and invoice
Correct answer is A
No explanation has been provided for this answer.