WAEC GCE Commerce Obj And Essay/Theory Questions and Answer – NOV/DEC 2017 Expo Runz.


Pipeline transportation can be defined as the transportation of goods or material through a pipeline, Such as Crude oil, natural gas, oil

-Advantages of Air Transport
i)High Speed
ii)Minimum Cost
iii)Easy transport of costly and light goods
iv)Free from physical barriers
v)Useful in natural calamities

i)The Nature of the Product
ii)The Nature of the market
iii)The Nature of Middlemen
iv)The nature and size of the manufacturing unit
v)Government Regulation

i)Memorandum of Association is subsidiary to the Companies Act, whereas Articles of Association is subsidiary to both Memorandum of Association as well as the Act.
ii)Memorandum of Association contains the information about the powers and objects of the company. Conversely, Articles of Association contain the information about the rules and regulations of the company.

i)Widening the shareholder base and spreading risk
ii)Growth and expansion opportunities
iii)Prestigious profile and confidence
iv)Transferability of shares
i)More regulatory requirements
ii)Higher levels of transparency required
iii)Ownership and control issues
iv)More vulnerable to takeovers

i)By performance of the parties i.e. each party completing his obligations as stipulated by the
ii)By frustration i.e. an event through no fault of
the parties that make one party unable to perform the contract. For example:if one party
suffers a prolonged illness which makes him unable to perform the contract.
iii)By lapse of time i.e. if the time limit set for the contract to be executed by both parties has been passed. For example, sellers of real estate usually require that the buyers pay the full balance on the property within a certain time period after the initial down payment has been made.
iv)By changes in law i.e. where a legal contract is rendered illegal through changes in law.

i)act on behalf of and be subject to the control of the principal
ii)act within the scope of authority or power delegated by the principal
iii)discharge his or her duties with appropriate care and diligence
iv)avoid conflict between his or her personal interests and those of the principal
v)promptly hand over to the principal all monies collected on principal’s behalf.
vi)agent owes a duty to the principal to act in the principal’s best interests within the authority of the agent .

i)As a Ready Market for Natural Resources
ii)Supplementing Home Food Consumption
iii)Sources of Manufactured Goods
iv)Supply of Raw Materials and Spare Parts
v)Centres of Commerce

i)Adjustment through Exchange Depreciation (Price Effect): Under flexible exchange rates, the disequilibrium in the balance of payments is automatically solved by the forces of demand and supply for foreign exchange.
ii)Devaluation or Expenditure-Switching Policy: Devaluation raises the domestic price of imports and reduces the foreign price of exports of a country devaluing its currency in relation to the currency of another country.
iii)Direct Controls: To correct disequilibrium in the balance of payments, government also adopts direct controls which aim at limiting the volume of imports.
iv)Adjustment through Capital Movements:
A country can use capital imports to correct a deficit in its balance of payments. A deficit can be financed by capital inflows.
v)Adjustment through Income Changes:
Given the foreign exchange rate and prices in a country, an increase in the value of exports, causes an increase in the incomes of all persons associated with the export industries.

i)Accepting Deposit
ii)Advancing Of Loans
iii)Discounting Of Bill Of Exchange
iv)Cheque Payment

i)Intercepting contraband (such as illegal drugs)
ii)Checking travellers and their baggage, cargo and mail
iii)Assessing and collecting Customs duties, excise taxes and Goods and Services Tax (GST) on imports
iv)Protecting a country businesses against illegal trade
v)Enforcing import and export restrictions and prohibitions
collecting accurate import and export data


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