(1a)
(i) No payment of rent
(ii) It is Door to Door service
(iii) Small capital is involve to set up
(iv) Consumable goods are sold majorly
(1b)
-Land is a free gift of nature and also a place where every other factors of productions take place.
-labour is both mental and physical input on the factors of production
-capital is the amount invested in the factor of production
-enterpreneur is the person responsible to supervise all other factors of production
Question 5A
1. Medium of Exchange:
The most important function of money is that it serves as a medium of exchange. In the barter economy a great difficulty was experienced in the exchange of goods as the exchange in the barter system required double coincidence of wants. Money has removed this diffi¬culty.
2. Measure of Value:
Another important function of money is that it serves as a common measure of value or a unit of account..
3. Standard of Deferred Payment:
Another function of money it that it serves as a standard for deferred payments.
4. Store of Value:
Lastly, money acts as store of value. Money being the most liquid of all assets is a convenient form in which to store wealth, that is, money can be held as an asset.
.
(5b)
-It is saver to carry cheque than cash
-It is easy for drawer to stop payment so as to prevent fraud
-Cheque can serve as a receipt and a proof of payment
-It is more convenient to carry chque about than cash
-cheque help to economise in the use of currency notes and coins
-Cheque counterfoil slip can be used by drawer for proper payment and receipt
4a)Consignment note
Document prepared by a consignor and countersigned by the carrier as a proof of receipt of consignment for delivery at the destination. Used as an alternative to bill of lading (specially in inland transport), it is generally neither a
contract of carriage nor a negotiable instrument
4b)delivery note
A document accompanying a shipment of goods that lists the description, and quantity of the goods delivered.
4.c
What is a ‘Bill Of Lading’
A bill of lading is a legal document between the shipper of goods and the carrier detailing the type, quantity and destination of the goods being carried
4d)Bill of sight
Documented request (on a prescribed form) by an importer to custom authorities for permission to examine the shipment that has arrived, without a full set of documents or without full particulars. The importer’s objective is to be able to submit a ‘perfect’ bill of entry after ascertaining the nature,
ownership, and estimated value of the shipment.
2a)i
-There is perpetual erxistence or continuity.Death of a member cannot bring the organisation to an end
-It is registered as a limited liability.Members liability is limited to the shares held
-It is democratic in nature
-Profit is shared based on patronage
ii) Mail order business
-It is shopping by post
-It is perculiar with cash on delivery transactions and cash with order terms of payment
-Goods are delivered at the buyer’s destination
-Packages are usually to customer’s tastes
2b).
-By expiration of agreement:where theb patnership is entered into for afixed period of time,it is assumed dissolved at the expiration of the fixed date
-Bankrupty of a patner:Patnership will be dissolved when one of the patners is bankrupt
-Insolvency of the business:when the business cannot meet its obligations
-Death of as partner:The death of a patner will bring the business to an end
-Insanity of a partner:If one of the patners become insane the remaining patners can apply to to the court for dissolution
(7a)
Market segmentation is a process of the total
heterogenous market for a product into several
sub marked or segments each of which tends
to be homogeneous in all important aspects.
(7b)
(i) Risk bearing: Marketing anticipates risk
inherent in business and tries to minimize the
risk and ensure adequate protection by taking
the necessary insurance cover.
(ii) Storage of goods: It helps in storage and
warehousing of goods until they are demanded
in order to ensure regular and constant supply.
(iii) Prices: Marketing assists the organizations
to fix reasonable price for their products that
would ensure enough profit.
(iv) Packaging: This involves designing and
producing the container or wrapper for the
product so as to protect it during distribution.
(v) Transportation of goods: It ensures that
raw materials, finished goods and services are
transferred to places where they are needed.
(vi) Standardization and grading: A major
function of marketing is to ensure that
products conform to the required standard and
qualify in terms of taste and durability.
==================================
WAEC GCE 2018 commerce Expo Answer (Obj And Essay) Answer – Free commerce Waec GCE Expo Answer 2018
3a)
Entrepot of trade
Entrepot of Trade is a trade in which imported goods are re-exported with or without any additional
processing or repackaging.
3bi)
Advantages of International Trade:
(i) Optimal use of natural resources:
International trade helps each country to make optimum use of its natural resources. Each country can concentrate on production of those goods for which its resources are best suited. Wastage of resources is avoided.
(ii) Availability of all types of goods:
It enables a country to obtain goods which it cannot produce or which it is not producing due to higher costs, by importing from other countries at lower costs.
(iii) Specialisation:
Foreign trade leads to specialisation and encourages production of different goods in different countries. Goods can be produced at a comparatively low cost due to advantages of division of labour.
3bii)
Disadvantages of International Trade:
(i) Impediment in the Development of Home Industries:
International trade has an adverse effect on the development of home industries. It poses a threat to the survival of infant industries at home. Due to foreign competition and unrestricted imports, the upcoming industries in the country may collapse.
