A bank’s undertaking to pay an exporter on behalf of an importer is a
- A. documentary credit
- B. letter of credit
- C. letter of hypothecation
- D. bill of exchange
An organization formed mainly by traders on the same line of business is known as
- A. trade union
- B. cooperative society
- C. trade association
- D. chamber of commerce
The net profit of a business is determined by
- A. deducting cost of goods sold from sales
- B. deducting purchases from sales
- C. adding commissions recieved to gross profit
- D. deducting all expenses from gross profit and other income
The net profit of a business is determined by
- A. deducting cost of goods sold from sales
- B. deducting purchases from sales
- C. adding commissions recieved to gross profit
- D. deducting all expenses from gross profit and other income
Which of the following is an intangible asset of a firm
- A. Goodwill
- B. Reserve
- C. Skilled personnel
- D. Rights issue
Which of the following is an intangible asset of a firm
- A. Goodwill
- B. Reserve
- C. Skilled personnel
- D. Rights issue
The nominal value of a share is same as its
- A. market value
- B. below par value
- C. above par value
- D. face value
The nominal value of a share is same as its
- A. market value
- B. below par value
- C. above par value
- D. face value
The nominal capital of a public limited company is made up of 400,000 ordinary shares of 50k each.
The Board of Directors decided to issue 50% of it for subscription by the public.
The reserved capital is
- A. #300,000
- B. #200,000
- C. #100,000
- D. #50,000
The nominal capital of a public limited company is made up of 400,000 ordinary shares of 50k each.
The Board of Directors decided to issue 50% of it for subscription by the public.
The authorized share capital is
- A. #400,000
- B. #200,000
- C. #100,000
- D. #50,000
Partnership form of business is most appropriate
- A. where proffessionals are needed
- B. for non-profit making ventures
- C. where very large capital is required
- D. where the liability of members is limited
Partnership form of business is most appropriate
- A. where proffessionals are needed
- B. for non-profit making ventures
- C. where very large capital is required
- D. where the liability of members is limited
Partnership form of business is most appropriate
- A. where proffessionals are needed
- B. for non-profit making ventures
- C. where very large capital is required
- D. where the liability of members is limited
Partnership form of business is most appropriate
- A. where proffessionals are needed
- B. for non-profit making ventures
- C. where very large capital is required
- D. where the liability of members is limited
Which of the following would not affect the form of a business unit
- A. Availability of raw materials
- B. the type of business
- C. number of persons involved
- D. the capital size
The fee which the bank charges for services rendered to their current account customers is
- A. commission on turnover
- B. bank rate
- C. minimum lending rate
- D. interest
The fee which the bank charges for services rendered to their current account customers is
- A. commission on turnover
- B. bank rate
- C. minimum lending rate
- D. interest
The distribution of profits based upon the level of patronage in the business is a common feature of
- A. partnership firms
- B. public limited companies
- C. co-operative societies
- D. private limited companies
An advantage of a public limited company over a private one is the
- A. limited liability of share holders
- B. easy transferability of shares
- C. access to retained earnings
- D. less taxation by government
An advantage of a public limited company over a private one is the
- A. limited liability of share holders
- B. easy transferability of shares
- C. access to retained earnings
- D. less taxation by government
Production is defined as
- A. an industrial undertaking
- B. creation of utility
- C. earning one's daily bread
- D. the changing of raw materials