WAEC Past Questions and Answers - Page 22

106.

Voyage policy insurance is associated with

A.

fire

B.

life

C.

marine

D.

burglary

Correct answer is C

A voyage policy is marine insurance coverage for possible damage to a ship's cargo. 

107.

An insurance principle that prevents a person from insuring what he does not stand to lose financially if the insured risk occurs is

A.

indemnity

B.

insurable interest

C.

proximate cause

D.

subrogation

Correct answer is B

Insurable interest; A principle that states that an insured may not collect more than its own financial interest in property that is damaged or destroyed.

108.

A person who earns extra commission for guaranteeing debts is a

A.

factor

B.

broker

C.

commission agent

D.

del-credere agent

Correct answer is D

A del credere is an agent who guarantees the solvency of third parties with whom the agent contracts on behalf of the principal.

109.

Which of the following will be suitable for hire purchase sale?

A.

Shares

B.

Refrigerator

C.

Shoes

D.

Textile

Correct answer is B

No explanation has been provided for this answer.

110.

Carriage forward on an invoice means

A.

carriage will be paid next time

B.

carriage will be paid by seller

C.

carriage will be paid by buyer

D.

carriage has been paid

Correct answer is C

used to show that the cost of shipping goods will be payed by the buyer