WAEC Commerce Past Questions & Answers - Page 29

141.

The document issued by the registrar of companies to permit a public limited company to commence business is

A.

Memorandum of Association

B.

Certificate of Incorporation

C.

Article of Association

D.

Trading certificate

Correct answer is B

A certificate of incorporation is a legal document/license relating to the formation of a company or corporation. It is a license to form a corporation issued by state government or, in some jurisdictions, by non-governmental entity/corporation.

142.

Which of the following is concerned with promoting favorable image of an organization?

A.

Consumer soveriegnty

B.

Public relations

C.

Marketing research

D.

Marketing segmentation

Correct answer is B

Public relations; the professional maintenance of a favourable public image by a company or other organization or a famous person.

143.

Bonded warehouse is a place where

A.

duty free goods are kept

B.

perishable goods are kept

C.

home-made goods are kept

D.

dutiable goods are kept

Correct answer is D

Bonded warehouse is a customs-controlled warehouse for the retention of imported goods until the duty owed is paid.

144.

Which of the following is a feature of mail order business?

A.

Employs many shop assistants

B.

Practices self service

C.

Provides attractive shop front

D.

Rents large warehouse

Correct answer is B

Following are the salient features of a mail order business:

(1) This business does not require much capital.
(2) The business can be carried even without owning a shop, sitting at house.
(3) In a mail order business there is no need of middlemen, as the goods are directly sent to the customers by post.

145.

Current account holders withdraw money by means of

A.

credit card

B.

draft

C.

withdrawal form

D.

cheque

Correct answer is D

Current account holders use cheques to withdraw money from their bank accounts. A cheque is an order to a bank to pay a stated sum from the drawer's account, written on a specially printed form.