JAMB Commerce 2025 past questions

Checked by the Skolra question team · Last updated 15 October 2026

Ten questions from the 2025 JAMB Commerce paper, with answers and explanations. We hold 80 questions from this paper, and the Skolra app has all of them.

JAMB Commerce 2025 questions and answers

1. 1.

   An organization of producers of similar products, which controls output with the intention to fix price is a

   1. A
      Consortium
   2. B
      Cartel
      Correct
   3. C
      Merger
   4. D
      Trust
   Show answerHide answer

   Answer: B

   A cartel is a formal agreement among competing producers in the same industry to coordinate output levels, divide markets and fix prices in order to maximise collective profits. It is a restrictive combination that eliminates competition among its members.

2. 2.

   The charge paid to a ship owner for the unused part of a ship is known as

   1. A
      Freight forward
   2. B
      Primage
   3. C
      Demurrage
   4. D
      Dead freight
      Correct
   Show answerHide answer

   Answer: D

   Dead freight is the charge a shipper pays to a ship owner for space that was booked but not used, compensating the carrier for the unused capacity on the voyage.

3. 3.

   A diagram showing the positions of the structure of a company is

   1. A
      Flow chart
   2. B
      Bar graph
   3. C
      Pie chart
   4. D
      Organogram
      Correct
   Show answerHide answer

   Answer: D

   An organogram, also called an organizational chart, is a diagram that visually represents the internal structure, hierarchy, and relationships among positions or departments within a company.

4. 4.

   In which of the following organizations are members entitled to one vote, irrespective of the number of shares held?

   1. A
      Public limited company
   2. B
      Private limited company
   3. C
      Cooperative society
      Correct
   4. D
      Partnership firm
   Show answerHide answer

   Answer: C

   In a cooperative society, the principle of democratic control applies: every member has exactly one vote regardless of the number of shares held. In limited companies, voting rights are proportional to the number of shares owned by each shareholder.

5. 5.

   Which of the following is sent by a supplier who does not want to sell on credit?

   1. A
      Debit note
   2. B
      Statement of account
   3. C
      Pro forma invoice
      Correct
   4. D
      Credit note
   Show answerHide answer

   Answer: C

   A pro forma invoice is a preliminary invoice sent to a buyer before goods are dispatched, often requiring full payment in advance. Suppliers use it when they do not wish to extend credit facilities. It shows the exact amount due so the buyer can arrange payment before delivery takes place.

6. 6.

   The mode of transport that conveys goods at low cost per unit is

   1. A
      Road transport
   2. B
      Air transport
   3. C
      Rail transport
   4. D
      Water transport
      Correct
   Show answerHide answer

   Answer: D

   Water (sea) transport has the lowest cost per unit because ships can carry extremely large volumes of bulk cargo over long distances with relatively low fuel and handling costs.

7. 7.

   Span of control is defined as the

   1. A
      Number of management levels in a hierarchy
   2. B
      Number of subordinates directly supervised by a manager
      Correct
   3. C
      Total number of employees in an organization
   4. D
      Range of decisions a manager is authorized to make
   Show answerHide answer

   Answer: B

   Span of control refers to the number of subordinates or workers that a manager or supervisor directly oversees. A wide span means more subordinates; a narrow span means fewer.

8. 8.

   The charge paid by a speculator for non-settlement of his account within the specified period is

   1. A
      Contango
      Correct
   2. B
      Brokerage fee
   3. C
      Arbitrage
   4. D
      Backwardation
   Show answerHide answer

   Answer: A

   Contango is the charge paid by a bull speculator who wishes to carry over an unsettled purchase account from one settlement period to the next. It compensates the seller for extending time on the transaction. Backwardation, by contrast, is paid by a bear speculator carrying over a sale.

9. 9.

   The transfer of ownership of government business to individuals is

   1. A
      Nationalization
   2. B
      Privatization
      Correct
   3. C
      Deregulation
   4. D
      Commercialization
   Show answerHide answer

   Answer: B

   Privatization is the process of transferring ownership and control of a government-owned enterprise to private individuals or organizations. It is the opposite of nationalization.

10. 10.

    The net profit is calculated as

    1. A
       Net sales minus total purchases
    2. B
       Gross profit minus expenses
       Correct
    3. C
       Gross profit plus other income
    4. D
       Sales minus cost of goods sold
    Show answerHide answer

    Answer: B

    Net profit is arrived at by deducting all operating and overhead expenses such as rent, salaries, and administrative costs from the gross profit. Gross profit minus expenses equals net profit.

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 80 questions we hold from the 2025 paper, on a timed CBT screen

Every question has the answer and an explanation, in the Skolra app.

Download for WindowsDownload for Mac

About the app · Skolra for Windows · Skolra for Mac