Commerce 2004 Jamb Examination
Question 31
The strategy adopted by a flrm that ceases to operate at one or more locations because of inactivity is
Correct option: D. consolidation
Consolidation is a strategy where a firm reduces the number of its operational locations or business units, especially those that are inactive or underperforming, in order to strengthen the core parts of the business and improve efficiency.
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Question 32
A written partnership contract is known as
Correct option: B. a deed
A written partnership contract is called a deed of partnership. It outlines the rights, duties, profit sharing, and responsibilities of partners in a business.
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Question 33
The merger of a textile mill, a cement company and a tannery is referred to as
Correct option: A. conglomerate merger
A conglomerate merger occurs when companies from unrelated industries—like a textile mill, a cement company, and a tannery—combine. This type of merger diversifies business operations and spreads risk.
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Question 34
Use the diagram below to answer question below
As the branches indicate, iv is
Correct option: D. construction
From the chart:
- i represents Industry.
- Under Industry, we have:
- Extraction (e.g., mining, farming)
- iv, which involves transforming extracted resources into usable forms.
Given the options:
-
Construction falls under Industry and involves building infrastructure, which is consistent with this branch.
So, iv = Construction
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Question 35
Use the diagram below to answer question below
What does v represent?
Correct option: A. Aids to trade
From the chart:
- ii represents Commerce
- Under Commerce, there is Trade and v
- Since Trade refers to buying and selling, the other branch (v) must support trade
Aids to trade include advertising, banking, insurance, transportation, warehousing, and communication, which assist the process of trade.
Therefore, v = Aids to trade
Correct answer: A. Aids to trade
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Question 36
The most important of computer is
Correct option: B. facilitating exchanges among individuals and firms
The most important function of a computer in business is its role in facilitating exchanges—such as communication, transactions, data processing, and record-keeping—between individuals and firms efficiently and accurately.
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Question 37
The acronym PLC is used to identify a
Correct option: C. public company limited by shares
PLC stands for Public Limited Company, which is a company limited by shares and allowed to offer its shares to the general public through the stock exchange.
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Question 38
Commerce includes all the occupations concerned with
Correct option: D. distribution
Commerce refers to all activities involved in the distribution of goods and services from producers to final consumers. This includes trade and aids to trade like transport, banking, insurance, etc.
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Question 39
Factors of production can be described as the
Correct option: A. resources required for the provision of goods and services
Factors of production are the basic resources used to produce goods and services. They include land, labour, capital, and entrepreneurship. These are essential for any production activity.
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Question 40
Fluctuations in the supply of goods may be eliminated if the distribution system maintains
Correct option: C. warehouse services
Warehouse services help to store goods until they are needed, thereby stabilizing supply and reducing fluctuations caused by seasonal or irregular production.