UTME CBT FREE Practice Test – Commerce

A cheque drawn by a bank on itself is a/an ______

A. direct debit.    B. bank draft.    C. bank transfer.    D. overdraft.

Which of the following is used as a pricing policy?

(a) packaging  (b) market location   (c) market skimming  (d) labeling

Before the advent of legal tender and credit instrument, which of the following was used as a medium of exchange?

A. Currency notes.    B. Cowries.    C. Cheques    D. Bank drafts.

A major factor that affects business operations is _______

(a) technology   (b) supply   (c) rivalry    (d) product

In marine insurance when a particular cargo is thrown into the sea in order to prevent the ship from sinking, the type of marine loss is ________

A. particular average loss.
B. general average loss.
C. total average loss.
D. constructive average loss.

The basic function of the Nigerian Ports Authority is to ______

A. coordinate the activities of all the seaports in the country
B. facilitate and control the movement of goods and services into and out of the country
C. ensure that the right caliber of personnel is employed at the ports
D. coordinate and regulate the activities of shipping lines.

The letters E and OE stands for _____

A. errors of exception
B. errors and omission exception
C. estimated and order error
D. end of error.

The business organization established mainly for the purpose of carrying out specific assignments for a specific duration is a _______

A. company   B. partnership    C. joint venture   D. cooperative society.

When C. l. F is quoted on an invoice, it means that the price includes the ______

A. cost of the goods only.
B. cost of insurance only.
C. Cost of carriage only.
D. cost, insurance and carriage.

The members of the Niger Basin Commission include _______

A. Nigeria, the Gambia and Cameroun
B. Guinea, Ghana and Niger Republic
C. Burkina Faso, Guinea and Nigeria
D. the Gambia, Benin Republic and Chad Republic

Communication process involves the transmission of a message over a selected channel to the ____

A. encoder   B. receiver   C. audience   D. sender.

The evolution of commerce in Nigeria is traceable to the ______

A. primitive stage of existence of human beings
B. development of human civilizations and the desire to meet their needs
C. period of barter economy as human needs became limitless
D. desire human beings to satisfy their needs through the service of other people in the society.

A wholesaler who possesses the title to the goods he sells is known as ______

A. a merchant wholesaler   B. a multiple wholesaler   C. a general wholesaler   D. an agent wholesaler.

The par value of a share is also known as _____

A. premium price.    B. market price.    C. discount price.    D. nominal price.

Which of the following is not a function of warehousing?

A. Creating scarcity of goods
B. stabilization of price
C. Production ahead of demand
D. Storage of goods.

A shop with many stores trading under a single roof which stocks varieties of goods with separate unit heads is a _______

(a) supermarket   (b) department store   (c) superstore   (d) multiple shop

The agency that currently oversees the privatization and commercialization processes in Nigeria is the _________

A. Securities and Exchange Commission
B. Technical Committee on privatization
C. Nigerian Stock Exchange
D. Bureau of Public Enterprises.

The current highest decision-making body on privatization and commercialization of public enterprises in Nigeria is the ________

A Nigeria Investment Promotion Commission
B. Bureau of Public Enterprises
C. National Council on Privatization
D. Securities and Exchange Commission.

The development of trade in West Africa was aided by the

A. emergence of traditional rulers.
B. arrival of the Portuguese.
C. introduction of tax payment.
D. introduction of money.

The document which specifies the manufacturer from whom goods are to be imported is ______

A. closed indent.    B. open indent.    C. export invoice.    D. consignment note.

A business partner who provides capital but abstains from participation in administration of a firm is a ______

(a) general partner   (b) nominal partner   (c) dormant partner   (d) secret partner

A software application which enables a user to display and interact with text and video is the ___

(a) web server   (b) web browser   (c) file transfer protocol   (d) internet protocol

Social responsibility is the ability of an organization to ______

A. meet the needs of its community
B. operate without disrupting the very essence of the environment
C. tackle the socio-economic problem of its community
D. contribute to sustaining and developing its community.

The Central Bank’s monetary policy instrument by which it buys and sells Treasury bills is known as _________

A. Open Market Operation.
B. Bank rate.
C. Cash reserve ratio.
D. Special deposit.

The difference between the cost price and selling price of an article is _______

A. commission.    B. mark-up.    C. rebate.    D. discount.

The three functional units of a modern computer are _______

(a) black box, output and input units
(b) BASIC, COBOL, and output units
(c) processor, FORTRAN and output units
(d) input, processor and output units

A personal computer on sale in an office equipment shop is an example of ______

A. stock    B. fixed asset    C. liability    D. fixed capital

The slogan, a wonderful world, used by a communication network is a form of ______

(a) packaging   (b) publicity   (c) product differentiation   (d) persuasive advertising

Which of the following is a quality of money?

(a) availability   (b) scarcity   (c) convertibility   (d) indivisibility

A pattern that shows the kinds of participants involved in the production, distribution and ultimate use of a product is referred to as ______

A. strategy   B. synergy   C. selection   D. structure.

The payment made periodically in respect of an insurance policy entered into is known as ______

A. premium   B. surrender value   C. bond   D. commission.

The management function that makes the difference in intensity of behaviour is _______

A. controlling    B. planning    C. coordinating    D. motivation.

Authorized share capital is also known as _______

A. paid-up share capital   B. registered share capital   C. issued share capital   D. called-up share capital.

Which of the following best describes the scope of commerce?

A. all forms of commercial exchanges and the manufacturing industry
B. Buying and selling and the construction industry
C. All occupational exchanges relating to industries and commercial activities
D. Buying and selling as well as the extraction of natural resources.

An obstacle to international trade is ______

A. cost of finance
B. quantity and quality of labour
C. availability of local market
D. trade imbalance between countries.

The device which interprets and carries out the instructions presented to it by the computer program is known as ______

A. mouse   B. hard-disk   C. microprocessor   D. software.

The Stock Exchange is a market where _____

A. Long-term securities are sold
B. All types of securities are sold
C. Short term securities are sold
D. Medium term securities are sold.

An activity involving buying, selling and distribution of goods and services is known as ______

A. trade.    B. marketing mix.    C. exchange.    D. commerce.

The box marked 'Z' stands for ______

A. Warehousing.     B. Home trade.     C. Foreign trade.     D. Marketing.

The essential utility derived from the use of products is known as ________

(a) augmented benefit   (b) branded benefit   (c) formal benefit   (d) core benefit