JAMB Commerce 2023 past questions
Ten questions from the 2023 JAMB Commerce paper, with answers and explanations. We hold 79 questions from this paper, and the Skolra app has all of them.
JAMB Commerce 2023 questions and answers
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1.
An agreement that is enforceable in law is
- AA covenant
- BAn obligation
- CA memorandum
- DA contractCorrect
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Answer: D
A contract is a legally binding agreement between two or more competent parties that courts will enforce, provided all essential elements such as offer, acceptance, and consideration are present.
- A
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2.
A government policy that encourages transfer of ownership from foreigners to indigenes of the country is known as
- ANationalization
- BPrivatization
- CCommercialization
- DIndigenizationCorrect
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Answer: D
Indigenization is a government policy that compels foreign-owned businesses to transfer a percentage of ownership or control to the citizens of the host country, as was enacted in Nigeria via the Indigenization Decree of 1972.
- A
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3.
The process of dividing tasks into jobs and departments and delegating authority is known as
- ADirecting
- BPlanning
- CControlling
- DOrganizingCorrect
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Answer: D
Organizing is the management function that involves dividing work into specific tasks, grouping those tasks into departments, and assigning authority and responsibility to individuals. It creates the formal structure through which a business achieves its objectives.
- A
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4.
A bill of exchange already accepted can be discounted by the holder in
- AA discount houseCorrect
- BThe Central Bank
- CThe stock exchange
- DA merchant bank
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Answer: A
A discount house specialises in purchasing accepted bills of exchange before their maturity date at a price below face value, providing the holder with immediate liquidity.
- A
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5.
A document that lists the goods that are being sent from one place to another is
- ADelivery note
- BWaybillCorrect
- CPurchase order
- DInvoice
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Answer: B
A waybill is a document prepared by the carrier or sender that lists the goods being transported from one location to another. It serves as a receipt and a guide for the transporter, and it identifies the consignor, consignee, and the nature of the goods in transit.
- A
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6.
The type of activity which turns processed raw materials into consumer and industrial goods is described as
- AManufacturingCorrect
- BCommerce
- CTrading
- DDistribution
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Answer: A
Manufacturing is the secondary industry activity that transforms processed raw materials into finished consumer and industrial goods through mechanical or chemical processes.
- A
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7.
Insurance against burglary is an example of
- ALife insurance
- BProperty insuranceCorrect
- CMarine insurance
- DFire insurance
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Answer: B
Burglary insurance protects against the loss of physical assets due to theft and forced entry, making it a category of property insurance.
- A
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8.
A demonstration of social responsibility by a business is the payment of
- ABonuses to directors
- BDividends to shareholders
- CPremiums to insurance companies
- DTaxes to governmentCorrect
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Answer: D
Paying taxes is a primary demonstration of social responsibility because it provides the government with revenue to fund public infrastructure and services that benefit the wider community.
- A
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9.
The stock exchange is a market where
- AThe government prints new currency notes
- BNew shares are issued to the public for the first time
- CCompanies are formally registered
- DExisting securities are bought and soldCorrect
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Answer: D
The stock exchange (secondary market) is where already-issued securities such as shares and bonds are traded between investors. New issues take place in the primary market, not the stock exchange.
- A
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10.
A business organization that exploits the capabilities of a member to remedy the weakness of another is a
- AHolding company
- BJoint venture
- CConsortium
- DPartnershipCorrect
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Answer: D
In a partnership, members with different skills and strengths complement one another, allowing the capabilities of one partner to offset the weaknesses of another for mutual benefit.
- A
The questions come from past JAMB, WAEC and NECO papers. We use software to help write the answer options and explanations, and every answer is checked twice before it goes on the site. How we check
Spotted a wrong answer? Tell us from the app or on the contact page and we check it.
Practise all 79 questions we hold from the 2023 paper, on a timed CBT screen
Every question has the answer and an explanation, in the Skolra app.