MID TERM TEST FIRST TERM COMMERCE SS 2

FIRST TERM MID TERM TEST 

Subject: COMMERCE               Class: SS 2      Time:        

SECTION A: ANSWER ALL

1. A co-operative society is owned and controlled by the_______ (a) individual (b) school (c) society (d) members
2. The death of a member cannot bring the organization to an end. This  means the  company has ________ (a) perpetual existence (b) people with common interest (c) enough capital (d) democracy
3. Each  member is entitled to _______ vote in a co-operative society (a) many vote (b) one vote (c) ten votes (d) five votes
4. ________ is an entity created by the association of a number of people in accordance with the law (a) partnership (b) public enterprise (c) co-operative society (d) a company
5. There are _______ kinds of company (a) three (b) four (c) two (d) six
6. In a limited liability company ,the liability of its member is ________ (a0 artificial (b) unlimited (c) limited (d) guaranteed
7. In a limited liability company, the business is owned by ________ (a) management (b) partners (c) directors (d) shareholders
8. In a private limited company, the capital required is provided by ________ (a) shareholders (b) management (c) directors (d) solicitors
9. Limited liability company is managed by ________ (a) employees (b) shareholders (c) board of directors (d) employers
10. A private limited company has a maximum number of _______ (a) 10 (b) 50 (c)20 (d)40
11. The promoters of a company are required to secure the services of a\an (a) police (b) soldier (c) teacher (d) solicitor
12. The following are the content of a  memorandum except _______ (a) a declaration that the members liability is unlimited (b) the name of the company (c) the object of the company (d) the names of the founders
13. A public limited liability company is also called _______ (a)public enterprise (b) joint stock company (c) private company (d) unlimited company
14. The following are the sources of finance available to a limited liability company except _________ (a) loans and overdraft (b) sales of shares (c) borrowing from friends (d) trade credit
15. The major aim of a trade association is to ________ (a) protect the interest of a customer (b) protect the interest of their town (c) protect the interest of their drivers (d) protect the interest of their members
16. Trade association is financed from the _______ (a) subscription of the government (b) subscription of their members (c) subscription of their directors (d) subscription of their chambers
17. Membership of trade association is _______ (a) voluntary (b) compulsory (c) subjective (d) indisputable
18. The following are the functions of trade association except _______ (a) they settle disputes (b) they pay members salary (c) they put political pressure on government (d) they fix prices for their services
19. An association of merchants, manufacturers, and businessmen from different commercial field is _______ (a) consortium (b) cartel (c) trust (d) chamber of commerce
20. M.A.N stands for ________ (a) Manufacturers Association of Nigeria (b) Maintenance Association of Nigeria (c) Man O War Association of Nigeria (d) Major Association of Nigeria
21.  Cartel is a ______ type of organization (a) Non monopolistic (b) Monopolistic (c) price fixing type of organization (d) petroleum exporting organization
22. Cartel has its origin in _______ (a) Canada (b) Dublin (c) Germany (d) London
23. In trust, the firm retain their _______ (a) wisdom (b) trust (c) knowledge (d) identity

1.  Trust has its origin in ________ (a) Canada (b) America (c) Senegal (d) Nigeria 
2. A group of independent firms formed to work on a particular project is ________ (a) consortium (b) trust (c) cartel (d) chamber of commerce
3. _________ is a person who is given the authority by the principal to enter into a contract (a) factor (b) principal (c) agent (d) authority
4. An agent employed for a particular purpose is called ________ (a) general agent (b) commission agent (c) special agent (c) universal agent
5. Agency can be terminated on the following grounds except by _________ (a) agreement (b) bankruptcy (c) breach of contract (d) sanity of the party
6. An employer has the right to fix workers _________ (a) profit (b) remuneration (c) loss (d) job
7. _________ is somebody or an institution that hires or provides work for another person (a) security (b) employee (c) labor (d) employer

SECTION B

THEORY : 2 hours

ANSWER ANY THREE

1. (a) Define a co-operative society

(b) Explain four features of a co-operative society

2.   (a) Define the following

               (i) Memorandum of association

                      (ii) Article of association

                     (iii) Prospectus

               (iv) Certificate of incorporation

                       (b) List two contents of a prospectus

3. In a tabular form, differentiate between a private limited company and a public limited company
4. (a) what is trade association?

         (b) list six functions of a trade association

        (c) state two reasons for forming a consortium

5. (a) Who is an agent     (b) Give five duties of an agent