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 share capital value that forms part of the balance sheet total is the
paid-up share capital
called-up share capital
authorized share capital
issued share capital
Correct answer is A
No explanation has been provided for this answer.
Determined the circulating capital?
N250,000
N245,000
N235,000
N225,000
Correct answer is C
No explanation has been provided for this answer.
Use the information below to answer question
What is the total fixed capital?
N 570,000
N 570,000
N 575,000
N 675,000
Correct answer is C
No explanation has been provided for this answer.
Bank overdraft as a short term source of fund is
an overdrawn account
granted to a newly opened account
repayable after more than a year
a current liability
Correct answer is A
No explanation has been provided for this answer.
On liquidation of a public limited liability company, the residual owners are the
creditors
ordinary shareholders
preference shareholders
debenture holders
Correct answer is B
Common stockholders also known as ordinary shareholders, are the residual owners because their claim to dividends and receiving compensation in the case of bankruptcy, are at the bottom of the line. This means that, other classes of shareholders get compensated first, and whatever is left is given to the common stock holders.
Residual claim: is the rights of shareholders to the remaining assets once the fixed claims on a business have been met.