The West African Examinations Council WAEC Commerce Questions Answers 2021 Objective and Theory Update.
YOU ARE TO ANSWER 5 QUESTIONS ONLY
7,5,4,3,1 + No.2(Bonus)
Entrepot trade is a form of foreign trade in which goods are shipped to one port and subsequently re-exported and shipped to another port. It can be simply refers to as the re-exporting of goods imported from other nations.
Bill of lading is a legal document issued by a carrier to a shipper that details the type, quantity, and destination of the goods being carried. A bill of lading also serves as a shipment receipt when the carrier delivers the goods at a predetermined destination. WHILE consignment note is a document regarding the carriage of goods by road which declares the contract of carriage and includes the instructions given to the carrier and proves the contract of carriage
Bill of sight is a document used in Foreign trade which is submitted to the customs authorities ,if a full description of the imported goods cannot be provided. This document enables the goods to be landed and their inspection is authorised by the customs while a full description of the goods will be provided later. Bill of sight is used to determine the duty on the cargo.
(i)Increased Price of The Product: Advertising increases the cost of the product as the expenses on it form the part of the total cost of the product.
(ii)Harmful For the Society:
Sometimes advertisements are un-ethical and objectionable. Most often, these carry indecent language and virtually nude photographs in order to attract the customers.
(iii)Multiplication of Needs:Advertising creates artificial demand for the product and induces people to buy those products which are not needed by them.
(iv)Multiplication of Needs:
Advertising creates artificial demand for the product and induces people to buy those products which are not needed by them.
(v)Deceptive:sometimes advertising is used as an instrument of cheating. In order to impress upon the people false statements are given with regard to different virtues of a product.
Merger is the process in which two or more companies come together to join forces towards a common goal. WHILE Acquisition is the process by which a company takes control of another and the latter ceases to exist completely.
(ii)Mergers are considered friendly and out of a mutual decision by each of the merging companies WHILE an acquisition is considered as either friendly or hostile, voluntary or involuntary.
(iii)In merger, the size of the merging companies is more or less the same WHILE In acquisition, the acquiring companies is larger or bigger than acquired one
(PICK ANY FIVE)
(i)Exchange of Goods and services: Commerce facilitates the exchange of goods and services. Commerce facilitates the exchange of goods and services through transportation (road, rail, sea, air) and telecommunications services.
(ii)Improvement in standard of living: Commerce help to improve standard of a living of a nation. The availability of variety of goods and services leads to improvement in standard of living and quality of life of people.
(iii)Unity among Nation: Commerce fosters unity among nations thus, nations become interdependent as they engage in trading activities
(iv)Raising of capital: Commerce facilitates the raising of capital for individual needs and investment through the service of banks and other financial institutions.
(v)Creation of wealth for nation: Commerce helps to create wealth for nations, as duties are charged on goofs and services either exported or imported.
(vi)linkage of Buyers and sellers: Commerce through communication links buyers and sellers together to do business without physical contacts which private disease spreading, robbery and fight among buyers and sellers.
[Pick any FIVE] (i) Cash payment
(iii) Bill of exchange
(iv) Money order
(v) Credit cards
(vi) Bank draft
(i) Accounting purposes: Accounting software enables a business to quickly and accurately obtain large- and small-scale pictures of the company’s financial situation. All the employees need to do is to input his financial information into the software which helps the employees understand everything about the financial health of the business’ operations
(ii) Document creation: Most businesses will need to produce numerous documents, either in the form of written documents or spreadsheets. Computers provide word processors and spreadsheet software to help with this.
(iii) Marketing: With a computer, a business can create and execute entire marketing campaigns that span across every social media platform on the internet. The business can create ads to run on websites and social media platforms, using special software, and it can also buy marketing services from other businesses.
(iv) Storage purposes: Computers also enable a business to store its data in different ways. The business could store the data in a central location, and it could have other computers on the network access the data whenever the business needs to; when the business has the permission to; or, when the business could store the data locally on individual computers.
(PICK ANY FOUR)
(i)Medium of exchange: Money can serve as a medium of exchange through which people can exchange goods and services. Money can be used to buy different varieties of goods and services.
(ii)Unit of account: In serving as a unit of account, it becomes practically possible for individuals and companies to keep accounting record of their transaction in bank statement, ledgers and invoices
(iii)Store of value: Money is a goof store of vale because wealth can be stores for future use. When there is no inflation, money stored or saved retains its value for many years
(iv)As a measure of value: The value of goods and services are expressed by prices, therefore money is used as a yardstick to measure and compare the worth of goods and services as well as occupation.
(v)Standard of deferred payment: Since money cab be stored, it can be accumulated to pay debts that are fixed in terms of money. Money can serve as a medium by which business transactions on credit can be settled in the future.
(a)Bull: This us a spectator on the floor of the exchange who buys securities with the hope that the price will rise and that he will sell at a higher price for a gain. The bull will wait for a time of general rise in prices of securities. A market is said to be bullish if it is keen to buy
(b)Jobber: A jobber is a member of the exchange who is the actual dealer in securities. He transacts business of the investors. Jobbers specialize in a particular type of business, they buy and sell securities on their own for a profit called Jobber’s turn. They quote two prices: buying price and selling price.
(c)Broker: This is an agent who is professionally engaged in the purchase and sales of securities in the stock exchange on behalf of a client in exchange for commission called Brokerage. They act as a link or go-between the member of the public who want to buy and sell securities and other members of the exchange
(d)Stag: A stag is a speculator who applies for new issues of shares and stock in large quantity with the feeling or anticipation that prices of the shares will rise above the offer prices. The stag hopes to make profit after selling.
Economic grouping may be defined as the coming together of different countries with a common economic interest and goals with a view to promoting economic cooperation and development among member States.
LAKE CHAD BASIN COMMISSION:
(i) The sustainable and equitable management of Lake Chad and other shared water resources
(ii) The preservation of ecosystems
(iii) The promotion of integrating and preserving of peace and transboundary security in the Lake Chad Basin.
(i) Promotion of Cooperation and development.
(ii) Harmonization of Agricultural, Economic, Monetary and Industrial Policies.
(iii) Abolition of trade restrictions and Customs Duties.
NIGER BASIN COMMISSION:
(i) To ensure the most effective utilization of the resources of the river.
(ii) To streamline the construction of dams on the Niger.
(iii) To ensure the most effective use of the Niger water