Commerce Past Questions | West African Examinations Council (WAEC)

Question 1

Division of labour often results in

Options

A) a decrease in production

B) an increase in production

C) waste of time

D) uneconomic use of tools

E) greater craftsmanship

The correct answer is B.

Question 2

Who among the following is not an agent?

Options

A) Broker

B) Factor

C) Jobber

D) Manufacturer's representative

E) Aunctioneer

The correct answer is D.

Question 3

Who among the following comes first in the channel of distribution?

Options

A) Consumer

B) Retailer

C) Consignor

D) Manufacturer

E) Wholesaler

The correct answer is D.

Question 4

If Ade issues a Union Bank cheque to Chukwu, the Union Bank is the

Options

A) drawee

B) payee

C) drawer

D) acceptor

E) creditor

The correct answer is A.

Question 5

Which of the following is the clearing house for all the banks in the country?

Options

A) The Federal Mortgage Bank of Nigeria

B) The Nigerian Industrial Development Bank

C) The Central Bank of Nigeria

D) The Nigerian Bank for Commerce and Industry

E) The National Bank of Nigeria

The correct answer is C.

Question 6

Commerce developed as a result of

Options

A) speculation

B) competition

C) specialization

D) importation

E) exportation

The correct answer is C.

Question 7

An overdraft can only be granted to the holder of a

Options

A) fixed deposit

B) savings deposit

C) loan account

D) current account

E) deposit account

The correct answer is D.

Question 8

Which of the following is not a source of capital to a partnership?

Options

A) Buying on credit

B) Ploughed back profit

C) Borrowing

D) Shares

E) Personal savings

The correct answer is D.

Question 9

Dumping means selling goods abroad

Options

A) at a lower price than in the home market

B) at a higher price than in the home market

C) at the same price as in the home market

D) on credit in the foreign market

E) for ready cash in the foreign market

The correct answer is A.

Question 10

Which of the following are functions of marketing?

Options

A) Buying, fnancing, selling and transporting

B) Sorting, grading, managing and storage

C) Risk-bearing, storage, production and promotion

D) Organizing, risk-bearing, transporting and storage

E) Production, promotion, distribution and pricing

The correct answer is E.

Question 11

Extractive occupation is an example of

Options

A) construction industry

B) manufacturing industry

C) tertiary industry

D) primary industry

E) secondary industry

The correct answer is D.

Question 12

The fastest means of sending a printed message from Lagos to London is through

Options

A) aeroplane

B) telephone

C) cablegram

D) telex

E) courier

The correct answer is D.

Question 13

An association that mobilizes the savings of members and channels them to needy members is known as

Options

A) Consumer Co-operative

B) Producer Co-operative

C) Thrift and Credit Co-operative

D) Multi-purpose Co-operative

E) Trade Union

The correct answer is C.

Question 14

One of the demerits of sole trading is

Options

A) quick decision taking

B) flexibility in operation

C) unlimited liability

D) pride of ownership

E) ease of commencement

The correct answer is C.

Question 15

A group of people in the same line of business who come together for the interest of its members is called

Options

A) Chamber of Commerce

B) trade association

C) trade union

D) consortium

E) cartel

The correct answer is C.

Question 16

A foreign order which instructs an agent to buy certain goods at a particular place called

Options

A) letter of credit

B) letter of attorney

C) open indent

D) closed indent

E) bill of laden

The correct answer is D.

Question 17

The shares of XYZ Plc are quoted at the stock exchange by a jobber at 85k for k share. How much will Alabi, an investor who buys 500 shares pay?

Options

A) #675.00

B) #425.00

C) #250.00

D) #175.00

E) #75.00

The correct answer is B.

Question 18

An agent who guarantees payments for goods sold is

Options

A) a factor

B) a del credere agent

C) a broker

D) a partner

E) an aunctioneer

The correct answer is B.

Question 19

A group of public limited companies that commonly own a joint venture is known as

Options

A) holding company

B) consortium

C) cartel

D) trust

E) merger

The correct answer is B.

Question 20

Which of the following clearly defines business?

Options

A) The process of planning, coordinating, organising and controlling

B) The act of achieving goals with the help of others

C) The act of buying and selling

D) Sole proprietorship, Partnership and Public Limited Companies

E) Any productive activity undertaken for profit motive

The correct answer is E.

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