JAMB Commerce questions

307 questions with answers and explanations. Tap an option to check yourself.

1. Question 101· Documents used in trade· JAMB

   The document that tells the buyer the total amount owed at the end of a month is the

   • Astatement of account
   • Bpro forma invoice
   • Cdelivery note
   • Dadvice note

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   Explanation and discussion

2. Question 102· Documents used in trade· JAMB

   Trade discount is allowed mainly to

   • Abuyers in the trade who buy for resale
   • Bencourage prompt payment
   • Ccustomers who pay by cheque
   • Dthe seller's own staff only

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3. Question 103· Documents used in trade· JAMB

   A credit note is issued by the seller when

   • Aa quotation is made
   • Bgoods are ordered
   • Cpayment is received
   • Dgoods are returned or the buyer was overcharged

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4. Question 104· Documents used in trade· JAMB

   The terms 'E & OE' on an invoice mean

   • Aexport and order entry
   • Berrors and omissions excepted
   • Cequal and opposite exchange
   • Dend of order entry

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5. Question 105· Documents used in trade· JAMB

   An order is sent by the

   • Acarrier to the seller
   • Bseller to the buyer
   • Cbank to the buyer
   • Dbuyer to the seller

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6. Question 106· Documents used in trade· JAMB

   A document sent by a buyer to a seller asking for the prices and terms of goods is

   • Aan invoice
   • Ban enquiry
   • Ca receipt
   • Da credit note

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7. Question 107· Documents used in trade· JAMB

   Trade discount is given to

   • Acustomers paying promptly only
   • Btraders buying for resale, usually in bulk
   • Call consumers
   • Dgovernment

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8. Question 108· Documents used in trade· JAMB

   A catalogue is

   • Aa receipt
   • Ba booklet listing goods with descriptions and prices
   • Ca delivery note
   • Dan invoice

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   Explanation and discussion

9. Question 109· Elements of commercial law· JAMB

   Copyright protects

   • Abusiness premises
   • Binventions
   • Cbrand names
   • Dliterary and artistic works

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10. Question 110· Elements of commercial law· JAMB

    A contract under seal is also called

    • Aa simple contract
    • Ba specialty contract
    • Can oral contract
    • Da void contract

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    Explanation and discussion

11. Question 111· Elements of commercial law· JAMB

    Under a contract of agency, the person on whose behalf the agent acts is the

    • Afactor
    • Bbroker
    • Cprincipal
    • Ddebtor

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12. Question 112· Elements of commercial law· JAMB

    A void contract is one that

    • Ahas no legal effect from the start
    • Bis valid until cancelled
    • Cis binding
    • Dcan be enforced

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13. Question 113· Elements of commercial law· JAMB

    An offer can be terminated by

    • Asilence of the person receiving it
    • Brevocation before acceptance
    • Cthe offeror's clerk
    • Dan advertisement

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14. Question 114· Elements of commercial law· JAMB

    A person who is authorised to act on behalf of another in dealings with third parties is

    • Aa guarantor
    • Ba principal
    • Can agent
    • Da beneficiary

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15. Question 115· Elements of commercial law· JAMB

    For a contract to be valid, there must be offer, acceptance and

    • Aconsideration
    • Badvertisement
    • Ca lawyer
    • Da receipt

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16. Question 116· Elements of commercial law· JAMB

    Caveat emptor means

    • Agoods are free
    • Bthe seller is always liable
    • Clet the buyer beware
    • Dpay later

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    Explanation and discussion

17. Question 117· Elements of commercial law· JAMB

    The exclusive right given to an inventor to make and sell an invention for a fixed period is a

    • Apatent
    • Bcopyright
    • Ctrademark
    • Dfranchise

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18. Question 118· Elements of commercial law· JAMB

    Which of these persons lacks full capacity to enter into most contracts?

    • AA trader aged 35
    • BA retired civil servant
    • CA minor
    • DA company director

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19. Question 119· Elements of commercial law· JAMB

    A trademark protects

    • Aan invention
    • Ba distinctive name or logo of a product
    • Ca book
    • Da building design only

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20. Question 120· Elements of commercial law· JAMB

    In the sale of goods, the rule 'caveat emptor' means

    • Agoods are sold free
    • Blet the seller beware
    • Clet the buyer beware
    • Dpayment must be in advance

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    Explanation and discussion