Which of the following is both direct and indirect credit enterprise?
- A. A co-operative and thrift society
- B. retail co-operative society
- C. consumer co-operative society
- D. wholesaler co-operative society
The financial institution established to boost Nigeria’s trade with the rest of the world is called
- A. Nigerian Deposit Insurance Corporation
- B. Nigerian Economic Reconstruction Fund
- C. Nigerian Industrial Development Bank
- D. Nigerian Export-Import Bank
Drawing two parallel lines across a cheque means that it has to be paid into the account of the
- A. payee
- B. drawer
- C. drawee
- D. payer
One of the effects of the devaluation of the Naira is that the
- A. goods that can be imported with the naira have become cheaper
- B. value of other currencies relative to the naira have become cheaper
- C. goods that can be exported from Nigeria have become costlier
- D. imports that can be bought with the naira have become costlier
A sole proprietor insured his goods worth N200,000 for half the value. There was a fire accident in which goods valued N80,000 were destroyed. The value of compensation expected from the insurer is
- A. N40,000
- B. N80,000
- C. N100,000
- D. N200,000
Goods discharged from ships on which import duties have not been paid are kept in the
- A. ordinary warehouse
- B. public warehouse
- C. private warehouse
- D. bonded warehouse
The postal organization which preceded the Nigerian Postal Service is
- A. Post and Telecommunication
- B. Post and Telephone
- C. Post and Teleprinter
- D. Post and Telegraph
Which of the following statements is TRUE about sea transport?
- A. all ships have specific routes to ply
- B. all ships must be insured at every journey
- C. all ships are insured separately from the crew
- D. all ships normally arrive at their destination with goods
A pro forma invoice is NOT required when
- A. quoting for the supply of goods
- B. goods are sent on approval
- C. dealing regularly with a customer
- D. final prices are uncertain
The difference between the total payments for imports and the receipts from exports within a given period is referred to as
- A. balance of payments
- B. balance of trade
- C. comparative cost advantage
- D. comparative advantage
The rate at which a country’s exports exchange for its imports is called
- A. balance of payments
- B. balance of trade
- C. terms of payment
- D. terms of trade
What is the major function of the wholesaler?
- A. buying from small-scale producers and selling to exporters
- B. buying in bulk and selling in small quantities
- C. granting of credit facilities to retailers
- D. providing information to manufacturers on market situation
The use of coin-operated machines to sell goods is a form of
- A. personal selling
- B. retailing
- C. wholesaling
- D. mail-order selling
Sole enterprise may flourish best in
- A. a mining business
- B. a retailing business
- C. an oil exploration business
- D. a car assembly business
Governments impose import duties for the following reasons EXCEPT
- A. to raise revenue for other services
- B. to act as a retaliatory measure against other governments
- C. to discourage the redistribution of income at home
- D. to protect home industries from external competition
What are fixtures and fittings in a balance sheet?
- A. liquid capital
- B. current assets
- C. fixed assets
- D. working capital
Compulsory dissolution of a business can arise from
- A. an agreement by the owners
- B. a declaration by a court of law
- C. the termination of its life
- D. an unfavourable economic climtate
Which of the following groups is paid first when a firm liquidates?
- A. Preference shareholders
- B. Debenture holders
- C. Ordinary shareholders
- D. Cumulative preference shareholders
Which of the following takes place when firms producing at different stages in the same industry combine?
- A. conglomeration
- B. vertical integration
- C. horizontal integration
- D. cartel
A distinguishing characteristics of a limited liability company is that it
- A. is a collection of many sole proprietors
- B. is a multiple partnership
- C. can sue and be sued
- D. has limited resources
A demonstration of social responsibility by a business is the payment of
- A. taxes to government
- B. dividends to shareholders
- C. interests on loans
- D. premium on insurance