Third Term Commerce Examination Question for Senior Secondary School 1

CLASS: SS 1    
SUBJECT: COMMERCE                      


Answer all questions
1.      Entrepot trade means (a) exchange of goods between two countries (b) exchngae of goods among countries (c) exporting goods to be re – imported (d) importing goods to be re – exported
2.      One of the following is needed in foreign trade (a) barter (b) certificate of incorporation (c) dollar (d) none of the above
3.      The reduction in the value of domestic currency of a country in relation to other countries currencies is (a) devaluation (b) inflation (c) deregulation (d) fluctuation
4.      Which of the following was not used as a medium of exchange by the early Europeans that came to West Africa? (a) Pounds and Shillings (b) Copper manilas (c) Iron bars (d) Cowries
5.      The total value of goods sold and bought by a country during a given period is (a) balance of trade (b) terms of trade (c) balance of payment (d) all of the above

6.      A country experiences  positive balance of trade when her (a) export is more than the import in terms of money (b) import exceeds her export monetarily (c) export is equal import (d) none of the above
7.      The prohibition or outright ban placed on some imported goods is (a) devaluation (b) embargo (c) import monopoly (d) import quota
8.      The taxes or duties imposed on imports and exports by the government of a country is (a) restriction (b) tariffs (c) devaluation (d) quotas
9.      One of the following refers to non – restriction on international trade (a) free trade (b) dumping (c) global trade (d) open trade
10.  A one – man – business is regarded to as (a) Sole proprietorsip (b) partnership (c) co – operative society (d) chambers of commerce
11.  One of the following is a disadvantage of sole proprietorship (a) quick decision making (b) unlimited liability (c) small capital requirement (d) none of the above
12.  The act of obtaining capital by purchasing goods on credit from the suppliers is (a) trade credit (b) factoring (c) hire purchase (d) fair trade
13.  Legal entity concept is not applied in sole proprietorship business (a) Yes (b) No (c) Maybe (d) None of the above
14.  Partnership businesses enjoy legal entity concept (a) Yes (b) No (c) Maybe (d) All of the above
15.  The minimum and maximum members of any partnership business are (a) two and twenty (b) seven and fifty (c) two to fifty (d) one and ten
16.  A partner who agrees to contribute a certain sum to a partnership business, but prevented by law from taking part in the running of the business is (a) active partner (b) general partner (c) limited partner (d) nominal or quasi partner
17.  Which of the following statements cannot be found in a partnership deed? (a) names of partners (b) nature of business (c) payment of tax (d) interest on capital
18.  A trade arrangement among many countries is called (a) Bilateral trade (b) Multilaterial trade (c) Indoor trade (d) Public trade
19.  Which of the following is not a function of commerce? (a) facilitate mass production of goods (b) assists in raising capital (c) creates goods and services (d) offers employment
20.  Public enterprises are financed mainly by (a) the shareholders (b) commercial banks (c) government grants (d) the world bank
1.      “There is no country in the world that is economically independent; hence here comes a serious need for an economic interrelationship among various countries of the world’. In light of the above statement, Explain: advantages a country can enjoy from participating in foreign trade
2.      Write short notes on the following types of communications.
        a   Sensory or Non-Verbal
        b Visual communication
        c. Oral communication
        d. Written communication
     3. a What is insurance?
        b. Mention and explain the principle of insurance
   4. Explain the following term
        a. Marine insurance
        b. Fire insurance
        c. Accident insurance
        d. Life insurance
   5. a What is commercial bank?
      b. state and explain the function of Commercial bank
   6. As a commercial student, explain to your friend in another country how central bank control the activities of commercial banks in your country.