WAEC Commerce Past Questions & Answers - Page 45

221.

Which of the following is not a feature of co-operative society?

A.

Owners are the customers

B.

Capital can be repaid to a member

C.

Votes are according to shares held

D.

Dividend is based on patronage

Correct answer is C

Features of a Cooperative Society

- As it is a voluntary association, the membership is also voluntary.
- There is limited liability of the members of co-operative society.
- Liability is limited to the extent of the amount contributed by members as capital.
- An elected managing committee has the powers to take decisions.

222.

Government financial grants is a source of capital to a

A.

partnership

B.

public limited company

C.

public corporation

D.

co-operative society

Correct answer is C

A public corporation is that form of public enterprise which is created as an autonomous unit, by a special Act of the Parliament or the State Legislature. They are created by the state to carry out public missions and services and funded by government and tax payer monies

223.

The work of actuaries is to

A.

underwrite insurance risks

B.

calculate insurance premiums

C.

settle insurance claims

D.

assess profits for insurance companies

Correct answer is A

An actuary is a person whose job is to calculate risk for insurance companies and pension funds, especially the age to which people are expected to live.

224.

A mortgage bank is primarily concerned with financing the acquisition of

A.

motor vehicle

B.

research equipment

C.

computer machine

D.

dwelling houses

Correct answer is D

bank that primarily or exclusively offers loans to clients to purchase real estate, especially of private residences.

225.

The legal document that gives a individual power to protect his own piece of invention is called

A.

copyright

B.

license

C.

patent right

D.

trademark

Correct answer is C

A patent is a right granted to an inventor by the federal government that permits the inventor to exclude others from making, selling or using the invention for a period of time.