Commerce past questions: WAEC SSCE 2023

47 objective questions, with answers. Free to read and practise.

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47 questions, one at a time, marked as you go or at the end. No account needed.

1.
A bill of lading that is tagged clean means that the goods being delivered are
1. A.on credit
2. B.not damaged
3. C.paid for
4. D.duty free
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Answer: B not damaged
2.
A business that can obtain capital through of sale of shares is a
1. A.demurrage
2. B.freight
3. C.charge
4. D.dock due
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Answer: A demurrage
3.
A disadvantage of privatization is that
1. A.there is decline in the supply of goods
2. B.public interest outweighs the profit motive
3. C.income is unevenly distributed
4. D.there is less efficiency in the production of goods
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Answer: C income is unevenly distributed
4.
A document in which the internal regulations of a company are stated is
1. A.Certificate of Incoporation
2. B.Articles of Association
3. C.Memorandum of Association
4. D.Partnership Deed
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Answer: B Articles of Association
5.
A duty of the principal to his agent is to
1. A.stop the sale of good in transit
2. B.pay the agent for services rendered
3. C.disclose confidential information
4. D.renegotiate agreements made by the agent
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Answer: B pay the agent for services rendered
6.
A factor to be considered in selecting a means of transporting fish is the
1. A.demand for fish
2. B.supply of fish
3. C.cost of fish
4. D.nature of the fish
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Answer: D nature of the fish
7.
A problem associated with barter is
1. A.poor road network delaying transportation of goods
2. B.inability to measure what is to be exchanged
3. C.difficulty in collecting debt
4. D.inability to produce enough goods
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Answer: B inability to measure what is to be exchanged
8.
A reduction in the value of a country's currency in relation to that of other countries is
1. A.revaluation
2. B.inflation
3. C.devaluation
4. D.deflation
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Answer: C devaluation
9.
A similarity of private and public company is that they
1. A.sell shares on the stock exchange
2. B.have equal number of members
3. C.receive certificate of incorporation
4. D.are required to publish their final accounts
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Answer: C receive certificate of incorporation
10.
A source of capital to a cooperative society is
1. A.contribution
2. B.debenture
3. C.retained profit
4. D.ordinary share
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Answer: A contribution
11.
A voluntary association of businessmen who are not in the same line of business is a
1. A.bureau de change
2. B.trade association
3. C.chamber of commerce
4. D.trade union
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Answer: C chamber of commerce
12.
Advertising designed to sell more of a company's products than other brands is
1. A.persuasive
2. B.indirect
3. C.competitive
4. D.informative
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Answer: C competitive
13.
An advantage of advertising is that
1. A.prices of products are reduced
2. B.awareness is created on the existence of products
3. C.quality of products is improved
4. D.distribution channels for products are improved
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Answer: B awareness is created on the existence of products
14.
An advantage of road transport over other means of transport is that
1. A.packing and loading is easy as activities are handled by experts
2. B.canteen services are provided during the course of transportation
3. C.specific vehicles could be used to carry certain loads
4. D.terminal handling is eliminated by door-to-door delivery
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Answer: D terminal handling is eliminated by door-to-door delivery
15.
An element of a valid contract is
1. A.operation of law
2. B.performance
3. C.breach
4. D.capacity to contract
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Answer: D capacity to contract
16.
An example of after-sales services is
1. A.sorting and grading of goods
2. B.granting of discount
3. C.provision of price list and terms
4. D.free replacement of parts
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Answer: D free replacement of parts
17.
An organization that could strive for improvement in electricity and telephone services to users is
1. A.a trade association
2. B.a manufacturers' association
3. C.a manufacturers' association
4. D.a consumers'association
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Answer: D a consumers'association
18.
Buying and selling products through a network of digital devices is
1. A.e-commerce
2. B.e-payment
3. C.e-transfer
4. D.e-mail
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Answer: A e-commerce
19.
Dissolution of a partnership could arise from
1. A.fall in output
2. B.death of a member
3. C.non access to capital
4. D.increase in market share
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Answer: B death of a member
20.
Divesting government interest in a business to the public is
1. A.commercialization
2. B.deregulation
3. C.privatization
4. D.nationalization
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Answer: C privatization
21.
In a contract of sale, the amount deposited with the seller for a particular product by a buyer is
1. A.consideration
2. B.warranty
3. C.counter offer
4. D.acceptance
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Answer: A consideration
22.
Industrial, commercial and service are types of
1. A.specialization
2. B.occupation
3. C.manufacturing
4. D.extraction
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Answer: B occupation
23.
One of the aim of ECOWAS is to
1. A.ensure production of quality goods
2. B.encourage foreign investments
3. C.improve transportation and communication
4. D.promote privatization policies
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Answer: B encourage foreign investments
24.
One of the barriers to foreign trade is
1. A.imposition of embargo
2. B.removal of tarrif
3. C.trade liberalization
4. D.memorandum of understanding
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Answer: A imposition of embargo
25.
Operating a state owned enterprise with the intention of making more profit is
1. A.nationalization
2. B.deregulation
3. C.privatization
4. D.commercialization
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Answer: D commercialization
26.
The arrangement for the conveyance of goods abroad is performed by the
1. A.customs and excise authority
2. B.ports authority
3. C.clearing and forwarding agents
4. D.chamber of commerce
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Answer: C clearing and forwarding agents
27.
The bank that conducts research on an economy, thereby identifying obstacles to growth is the
1. A.commercial bank
2. B.mortgage bank
3. C.development bank
4. D.central bank
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Answer: C development bank
28.
The business in which sale of goods involves use of vehicles is a
1. A.mobile shop
2. B.chain store
3. C.shopping mail
4. D.tied shop
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Answer: A mobile shop
29.
The department that ensures that products are made available to consumers is
1. A.purchases
2. B.finance
3. C.marketing
4. D.production
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Answer: C marketing
30.
The excess value of total assets over total liabilites is
1. A.capital owned
2. B.borrowed capital
3. C.paid-up capital
4. D.paid-up capital
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Answer: A capital owned
31.
The function of money that makes it generally acceptable is
1. A.unit of account
2. B.store of value
3. C.medium of exchange
4. D.standard of deferred payment
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Answer: C medium of exchange
32.
The management function that is concerned with coordinating business resources efficiently is
1. A.organizing
2. B.controlling
3. C.planning
4. D.motivation
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Answer: A organizing
33.
The means by which a firm obtains information before introducing new products is
1. A.market segmentation
2. B.advertising
3. C.promotion
4. D.market research
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Answer: D market research
34.
The rate at which a country's export exchange for its imports is
1. A.terms of payment
2. B.terms of trade
3. C.balance of payment
4. D.balance of trade
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Answer: B terms of trade
35.
The reward for capital is
1. A.rent
2. B.interest
3. C.profit
4. D.dividend
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Answer: B interest
36.
The term 2%/15 net 30 represents a
1. A.seasonal discount
2. B.quantity discount
3. C.cash discount
4. D.trade discount
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Answer: C cash discount
37.
The use of brand names and trademarks is to
1. A.control the supply of goods
2. B.prevent imitation by competitors
3. C.stabilize the prices of goods
4. D.make after-sale service possible
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Answer: B prevent imitation by competitors
38.
Use the diagram to answer the question The instrument in the diagram is a
1. A.cheque
2. B.money order
3. C.deposit slip
4. D.warrant
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Answer: A cheque
39.
Use the diagram to answer the question The instrument will not be valid on
1. A.September 25, 2023
2. B.July 25, 2023
3. C.October 25, 2023
4. D.June 25, 2023
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Answer: D June 25, 2023
40.
Use the diagram to answer the question The two lines on the instrument shows that it is
1. A.altered
2. B.crossed
3. C.cancelled
4. D.paid
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Answer: B crossed
41.
When a seller wishes to be paid before supplying goods, he would send the buyer a
1. A.consular invoice
2. B.consignment note
3. C.proforma invoice
4. D.credit note
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Answer: C proforma invoice
42.
Which of the following activities does not belong to the extractive industry?
1. A.Drilling
2. B.Mining
3. C.Barbing
4. D.Farming
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Answer: C Barbing
43.
Which of the following countries is not a member of the European Union?
1. A.Greece
2. B.France
3. C.Denmark
4. D.Bolivia
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Answer: D Bolivia
44.
Which of the following is not a factor of production?
1. A.Capital
2. B.Staffing
3. C.Labour
4. D.Land
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Answer: B Staffing
45.
Which of the following is not a form of sales promotion?
1. A.Cash on delivery
2. B.Cash on delivery
3. C.Free samples
4. D.Buy one get one free
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Answer: B Cash on delivery
46.
Which of the following is not a type of security?
1. A.Stock
2. B.Overdraft
3. C.Share
4. D.Debenture
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Answer: B Overdraft
47.
Which of the following modes of transport could be used to convey both liquid and gas?
1. A.Aeroplane
2. B.Tanker
3. C.Tramp
4. D.Ferry
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Answer: B Tanker

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