JAMB UTME - Commerce - 2023

The scope commerce is limited to

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Commerce is not limited to any specific area. It encompasses a wide range of activities and aspects related to trade and business. The scope of commerce includes both home and foreign trade, which involves buying and selling goods and services within a country and between different countries. Commerce covers various forms of trade, such as wholesale and retail trade. Wholesale trade refers to the sale of goods in large quantities to retailers or businesses, while retail trade involves selling goods directly to consumers. Additionally, commerce also includes the concept of aids-to-trade, which are activities that facilitate smooth trading processes. These aids-to-trade can be transportation, storage, insurance, banking, advertising, and other related services that support the exchange of goods and services. Lastly, commerce is not limited to any specific type of trade, such as entreport trade. Entreport trade refers to the import and re-export of goods through a port or trading center without significant processing or value addition. While this is a part of commerce, it is not the sole focus or limitation of the field. In summary, commerce encompasses home and foreign trade, wholesale and retail trade, as well as various aids-to-trade. It is a broad field that covers all aspects of buying, selling, and supporting trade activities in both domestic and international contexts.

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To calculate the net profit, we need to subtract the cost of goods sold and expenses from the net sales.
Given the information provided:
Net sales: ₦370,000 Cost of goods sold: ₦230,000 Rent expenses: ₦35,000
To calculate the net profit, we use the following formula:
Net Profit = Net Sales - Cost of Goods Sold - Expenses
Substituting the values into the formula:
Net Profit = ₦370,000 - ₦230,000 - ₦35,000
Net Profit = ₦105,000
Therefore, the net profit is ₦105,000.
The correct answer is: ₦105,000

The fees charged on postal order by the post office is

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The fee charged on postal orders by the post office is called "poundage". Poundage is a fee that is added to the total value of the postal order. It is a small percentage or fixed amount that the post office charges for providing the service of issuing and handling the postal order. The purpose of the poundage fee is to cover the costs incurred by the post office in processing and delivering the postal order. This includes administrative expenses, handling and transportation costs, as well as providing security for the transaction. It is important to note that the poundage fee is not the same as interest or brokerage. Interest refers to the additional amount of money earned on an investment or loan, which is not relevant to postal orders. Brokerage, on the other hand, is a fee charged by a broker for arranging a transaction between a buyer and a seller, which is also not applicable to postal orders. Therefore, to summarize, the fee charged on postal orders by the post office is called "poundage." It is a fee added to the total value of the postal order to cover the costs of processing and delivering the order.

An agent who has to sell perishable goods without the prior authority of the owner becomes an agent by

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Agency by necessity arises when an emergency situation happens. When somebody who is possession of another person's property has to so something to preserve the property.

The concept that refers to the sale, transfer or exchange of goods and services is

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The concept that refers to the sale, transfer, or exchange of goods and services is **trade**. Trade is the process of buying and selling goods and services between individuals, companies, or countries. It involves the exchange of something valuable, such as money, for a product or service. For example, when you go to a store and purchase a book, you are engaging in trade. The store is selling you the book, and you are giving them money in exchange. This transaction is a form of trade. Similarly, when different countries exchange goods with each other, it is also called trade. For instance, if one country produces cars and another country wants to buy those cars, they will engage in trade by exchanging money for the cars. Trade plays a crucial role in the global economy as it allows people and businesses to obtain the goods and services they need or desire. It promotes economic growth, creates job opportunities, and helps to establish connections between countries.

The business unit that applies the principle of one man vote is

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Cooperatives are about people having a shared sense of purpose and aligned self-interests. One-member, one-vote works great in this context because it distributes decision-making and is designed to reflect the interests of a majority of owners. For example, suppose a cooperatives proposes to purchase one of its competitors and expand the business.

The difference between the central bank and commercial bank is that the former

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The central bank and commercial bank are two different types of banks that serve different purposes. The central bank, as the name suggests, is the bank that is at the center or the heart of a country's banking system. It is responsible for controlling and regulating the country's money supply, interest rates, and monetary policy. One of the important functions of the central bank is to act as the lender of last resort. This means that in times of financial crisis or when commercial banks are unable to meet their obligations, the central bank steps in to provide liquidity and ensure the stability of the banking system. On the other hand, commercial banks are the banks that most people are familiar with, as they are the ones that provide various banking services to the public. Commercial banks serve as intermediaries between individuals and businesses that have surplus funds to deposit, and those who need to borrow money. They accept deposits from individuals and businesses and in return, provide a range of services such as checking accounts, savings accounts, and loans. In summary, the key difference between the central bank and commercial bank is that the central bank acts as the lender of last resort and is responsible for regulating the country's banking system, while commercial banks provide banking services to the public and facilitate the borrowing and lending of money.

The production of goods and services in anticipation of demand is made possible by

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Warehousing is the process of storing physical inventory for sale or distribution. Warehouses are used by all different types of businesses that need to temporarily store products in bulk before either shipping them to other locations or individually to end consumers.

The board of directors of public enterprise is appointed by who?

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The board of directors of a public enterprise is appointed by the government. To understand why, let's first define what a public enterprise is. A public enterprise is a company or organization that is owned and operated by the government. This means that the government has control over the company's activities and decision-making processes. The board of directors plays a crucial role in a public enterprise. They are responsible for making important decisions and setting the strategic direction of the company. They oversee the management of the enterprise and ensure that it is operating in the best interest of the government and the public. Given the significant role they play, it is important to have a board of directors that is qualified, reliable, and accountable. The government appoints the board members to ensure that they possess the necessary expertise, experience, and integrity to effectively guide and govern the public enterprise. By appointing the board members, the government can ensure that the interests of the shareholders, employees, and other stakeholders are considered and protected. The government has a broader perspective and must consider the overall welfare of the public and the nation when making decisions about the leadership of public enterprises. In conclusion, the board of directors of a public enterprise is appointed by the government to ensure that the company is managed effectively and in the best interest of the public. They are responsible for making important decisions and overseeing the management of the enterprise.

Any activity directed at conveying commodities to buyers is an aspect of

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**Marketing** encompasses any activity directed at conveying commodities to buyers. It involves a set of actions aimed at promoting and selling products or services to customers. Marketing includes various aspects such as **delivering** the products or services to the consumers, **advertising** to raise awareness and attract customers, and **selling** by engaging in transactions or exchange of goods. However, it is important to note that **marketing is not limited to selling alone**. It also involves market research, product development, pricing, distribution, and creating customer relationships. In summary, marketing involves a range of activities that aim to connect products or services with consumers, including delivering, advertising, selling, and several other strategic actions.

One of the major problems of a sole properitor is sourcing for

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One of the major problems of a sole proprietor is sourcing for **funds**. - As a sole proprietor, you are the only owner of the business, which means you are responsible for financing all aspects of the business, including startup costs, daily operations, and expansion. - Unlike larger corporations or partnerships, a sole proprietor doesn't have the advantage of multiple sources of funding such as shareholders, investors, or business partners to share the financial burden. - This can make it challenging to secure the necessary funds to start or grow the business. - Sole proprietors often have to rely on personal savings, loans from family and friends, or bank loans to finance their business. - Accessing these funds can be difficult as sole proprietors may have a harder time demonstrating the financial stability or attracting investors compared to larger businesses. - Additionally, since the entire financial responsibility falls on the sole proprietor, they may face personal financial risks if the business encounters financial difficulties or fails. - Therefore, for a sole proprietor, sourcing for funds is a crucial challenge that they need to overcome to ensure the successful operation and growth of their business.

An announcement of a person's willingness to enter into a contract is referred to as

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The correct answer is an offer.

An offer is an announcement made by a person expressing their willingness to enter into a contract. It is a clear and definite proposal that outlines the terms and conditions of the contract.

Think of it as an invitation to negotiate. When someone makes an offer, they are essentially saying "I am willing to do this, under these conditions." It is important to remember that an offer must be communicated to the other party, indicating a genuine intention to be bound by the terms mentioned.

For example, if someone offers to sell their car for $10,000, they are making an offer to enter into a contract to sell the car at that price. So, in summary, an offer is the announcement of someone's willingness to enter into a contract.

An individual that links the producer with the retailer is

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A wholesaler is a merchant who purchases goods in large quantity from the manufacturer and sell in small quantities to the retailer. The wholesaler acts as an intermediary between the retailer and the manufacturer.

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The type of letters that are delivered through the normal mail or by airmail express service is referred to as inland letters. Inland letters are letters that are sent within the same country. They can be delivered through the normal mail service or by airmail express service, depending on the sender's preference and the urgency of the letter.

A demonstration of social responsibility by a business is the payment of

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A demonstration of social responsibility by a business is the payment of taxes to the government.
When a business pays its taxes to the government, it shows that it is fulfilling its role as a responsible member of society. These taxes contribute to the functioning of the government and help support important public services such as education, healthcare, infrastructure development, and social welfare programs.
Paying taxes is a financial obligation that businesses have to fulfill, and it ensures that they are contributing their fair share to society. By meeting this obligation, businesses are actively participating in the social and economic development of their community and country as a whole. It indirectly benefits the employees, customers, and other stakeholders associated with the business.
Additionally, tax payments help maintain a stable and functioning society by providing the necessary funds for public goods and services. These services are essential for the well-being and progress of the entire society. Therefore, the payment of taxes is a crucial aspect of a business's social responsibility.

An agreement that is enforceable in law is

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An agreement that is enforceable in law is called a contract. A contract is a legally binding agreement between two or more parties. It is created when there is an offer made by one party to another, and that offer is accepted. Both parties must provide something of value, known as consideration, for the contract to be valid. Once a contract is formed, it means that both parties are legally obligated to fulfill their promises as outlined in the agreement. If any party fails to fulfill their obligations, the other party can seek legal remedies to enforce the contract. So, in simple terms, a contract is an agreement that can be enforced by law if any party fails to do what they promised to do.

Which of the following is an item in the marketing mix?

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An item in the marketing mix refers to a component or element that is crucial in the overall marketing strategy of a product or service.

Out of the given options, promotion is an item in the marketing mix. Promotion involves various activities and strategies implemented by companies to communicate and promote their products or services to the target audience.

It is a way of informing, persuading, and influencing potential customers about the value and benefits of their offerings. Promotion can take different forms such as advertising, personal selling, sales promotion, direct marketing, and public relations.

These activities are designed to create awareness, generate interest, and ultimately lead to the purchase of the product or service. In the marketing mix, promotion complements the other elements such as product, price, and place (distribution). It helps in building brand awareness, creating a strong market presence, and ultimately driving sales.

Overall, promotion plays a vital role in the marketing mix by effectively reaching out to the target audience, creating demand, and influencing consumer behavior.

The macro-environmental forces and trends which are a constraint on business operations are referred to as

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The macro-environmental forces and trends which are a constraint on business operations are referred to as external factors. These factors are external to the organization and they influence the success or failure of a business.

Internal factors refer to the factors within the control of the business, such as the company's structure, resources, and capabilities. On the other hand, external factors are forces and trends that are beyond the control of the business, but can have a significant impact on its operations and performance.

Technological factors are one type of external factor that refers to the advances and innovations in technology that can impact businesses. For example, the introduction of new technologies can lead to changes in production processes, marketing strategies, and customer expectations.

Economic factors are another type of external factor that include factors related to the overall economy and can affect businesses in various ways. For instance, changes in economic conditions such as inflation, unemployment rates, and consumer spending patterns can impact the demand for products or services.

However, when we talk about the macro-environmental forces and trends that specifically constrain business operations, we refer to the broader external factors that include not only technological and economic factors but also social, political, legal, and environmental factors. These factors can influence a business's ability to operate, make decisions, and achieve its goals.

In conclusion, the macro-environmental forces and trends that are a constraint on business operations are referred to as external factors. They encompass a range of influences, including technological and economic factors, as well as social, political, legal, and environmental factors. These forces and trends can significantly impact a business's operations and success.

Which of the following is a verbal means of communication

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A verbal means of communication refers to a method of conveying information using spoken words. Out of the given options, the telephone is a verbal means of communication. The telephone allows people to talk to each other by transmitting their voices over a distance. It works by converting sound into electrical signals that can be transmitted through telephone lines or wirelessly. When you speak into a telephone, your voice is converted into an electrical signal and sent to the other person's telephone. Their telephone then converts the electrical signals back into sound, allowing them to hear your voice. This verbal communication method is widely used for various purposes, such as personal conversations, business discussions, and customer service. It provides real-time interaction and enables people to express their thoughts and ideas directly to others. In summary, the telephone is a verbal means of communication because it allows people to communicate using spoken words transmitted through electrical signals.

Parts payments made on alloted shares by subscribers is usually the

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The correct answer is "called-up capital." Called-up capital refers to the portion of the subscribed capital that the company has requested from its shareholders to be paid. When a company decides to issue new shares, individuals or entities can subscribe to those shares by indicating their intention to purchase them. Once this happens, the subscribed capital represents the total value of shares that have been agreed to be purchased by the subscribers. However, subscribers do not always pay the entire subscription amount upfront. Instead, they make partial payments over time based on the company's requests. These partial payments made by the subscribers on their allotted shares are known as called-up capital. Therefore, the correct term to use for the partial payments made on the allotted shares by subscribers is "called-up capital."

The organised effort of consumers to protect themselves against the unfair practices of businessmen is known as

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The organized effort of consumers to protect themselves against the unfair practices of businessmen is known as consumerism.

Consumerism is a movement that aims to empower and educate consumers, advocating for their rights and interests in the marketplace. It involves individuals, groups, and organizations working together to promote fair business practices, transparency, and the provision of quality products and services.

Consumerism encompasses various activities such as raising awareness about consumer rights, educating consumers about their rights and responsibilities, promoting ethical and sustainable consumption, and advocating for stronger consumer protection laws.

It encourages individuals to be vigilant and proactive in their purchasing decisions, making informed choices based on factors like product quality, safety, environmental impact, and fair pricing.

Consumerism often involves activities like boycotting companies that engage in unethical practices, filing complaints with consumer protection agencies, participating in product recalls, and supporting initiatives that promote fair trade and responsible corporate behavior.

Overall, consumerism serves to balance the power dynamics between businesses and consumers, giving individuals the means to protect themselves from unfair practices and make informed choices for their well-being and satisfaction.

It plays a crucial role in holding businesses accountable and shaping a fair and just marketplace.

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To find the gross profit, we need to understand what it represents. Gross profit is the amount of money left after subtracting the cost of goods sold from the net sales.
Net sales is the total revenue generated from selling goods, which in this case is ₦370,000.
The cost of goods sold is the total cost incurred to produce or purchase the goods that were sold. To calculate it, we subtract the value of the stock on 31/12 (₦40,000) from the cost of goods available for sale (₦270,000). In this case, the cost of goods sold is ₦230,000.
Now, we can calculate the gross profit by subtracting the cost of goods sold (₦230,000) from the net sales (₦370,000). Gross profit = Net sales - Cost of goods sold Gross profit = ₦370,000 - ₦230,000 = ₦140,000.
Therefore, the correct answer is ₦140,000.

In law of contract, a counter offer operates as

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A counter offer in the law of contract operates as a rejection of the original offer.

When one party makes an offer to another party, they are essentially proposing certain terms and conditions for entering into an agreement.

However, if the second party responds to this offer with a counter offer, it means that they are suggesting different or altered terms for the agreement. In legal terms, a counter offer is seen as a rejection of the initial offer because it indicates that the second party is not willing to accept the original terms proposed by the first party. The counter offer essentially ends the original offer and opens up negotiations for new terms of the agreement.

Therefore, it is important to understand that a counter offer does not operate as an acceptance, an offer, or a contract.

It is a clear indication that the second party is not in agreement with the terms of the original offer and wishes to propose new terms for consideration.

Another name or term for a dishonoured cheque is

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Another term for a dishonored cheque is a **bounced cheque**. When a person writes a cheque to someone, they are essentially authorizing their bank to transfer funds from their account to the recipient's account. However, if there are insufficient funds in the account, the bank will be unable to complete the transaction and the cheque will be bounced, or dishonored. There are various reasons why a cheque may bounce, such as insufficient funds, a closed account, or a mismatched signature. When a cheque bounces, it means that the payment cannot be made as originally intended, and the recipient will not receive the funds. So, to summarize, a dishonored cheque is commonly referred to as a **bounced cheque** because the payment authorization is not fulfilled by the bank due to insufficient funds or other issues.

A factor necessary for siting of a warehouse is nearness to

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A factor that is necessary for siting a warehouse is the **nearness to consumers**. When deciding where to locate a warehouse, it is important to consider the proximity or closeness to the consumers who will be buying the products stored in the warehouse. This is because being close to consumers has several advantages: 1. **Faster delivery**: When the warehouse is located near the consumers, it reduces the distance that goods need to travel to reach them. This means that products can be delivered more quickly, which is important for satisfying customer demands and providing a good customer experience. 2. **Reduced transportation costs**: Having a warehouse close to consumers also helps to reduce transportation costs. When the warehouse is located far away, it requires more time, fuel, and resources to transport goods from the warehouse to the consumers. By minimizing the distance, transportation costs can be minimized too. 3. **Flexibility and responsiveness**: Being close to consumers allows the warehouse to be more flexible and responsive to their needs. It becomes easier to adapt to changes in demand and customer preferences when the warehouse is situated nearby. This can help businesses stay competitive in the market. 4. **Customer satisfaction**: Ultimately, having a warehouse near consumers contributes to customer satisfaction. Customers appreciate receiving their products quickly and efficiently. By providing fast and convenient service, businesses can attract and retain more customers. In summary, the nearness to consumers is an important factor to consider when siting a warehouse. It enables faster delivery, reduces transportation costs, allows for greater flexibility, and leads to improved customer satisfaction.

If a business uses part of its profit to develop the area where it operates, the business is fulfilling its

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If a business uses part of its profits to develop the area where it operates, it is fulfilling its social responsibilities. Social responsibilities refer to the obligations of a business to contribute to the well-being and improvement of society. By investing in the development of the local area, the business is showing its commitment to the community and the people living there. This can be done through various means such as supporting education, healthcare, infrastructure projects, or environmental initiatives. When a business fulfills its social responsibilities, it goes beyond its primary goal of making profits and considers the impact it has on society. It recognizes that it has a role to play in creating positive social change and improving the quality of life for the people in its community. In summary, by using its profits to develop the area where it operates, the business is fulfilling its social responsibilities by contributing to the well-being and improvement of society.

The payment made by a speculator to the buyer when he is unable to deliver stocks on the agreed date is

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Backwardation is a percentage paid by a person selling stock for the right of delaying its delivery.

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An example of a cartel is **OPEC**. A cartel is a group of independent entities or organizations that come together to regulate and control the production, pricing, and distribution of a particular product or service. The primary goal of a cartel is to collaborate and reduce competition among its members in order to maintain high prices and increase profits. OPEC stands for the Organization of the Petroleum Exporting Countries. It is an intergovernmental organization consisting of 14 oil-producing countries, primarily located in the Middle East, Africa, and South America. OPEC was formed in 1960 and its members collectively control a significant portion of the world's oil reserves and production. OPEC's main objective is to coordinate and control the production and pricing of oil to ensure stability in global oil markets and maximize their revenues. The member countries agree on production quotas to limit the amount of oil they produce, with the aim of balancing supply and demand and maintaining stable oil prices. By collaborating and acting as a collective force, OPEC members are able to exert influence and have a significant impact on global oil prices. This allows them to maintain higher prices and avoid the downward pressure of excessive competition. However, this control over the oil market has both positive and negative consequences for both the member countries and the global economy. In summary, OPEC is an example of a cartel as it is a group of oil-producing countries that collaborate to control the production and pricing of oil, with the aim of maintaining high prices and increasing profits.

An advantage of division of labour is

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One advantage of division of labour is that it increases productivity and total output.

Division of labour refers to the specialization of tasks where individuals in a group or organization focus on specific tasks based on their skills and abilities.

Each person becomes proficient in their assigned task and is able to perform it more efficiently and effectively through practice and experience. By dividing a complex task into smaller, simpler tasks, the individuals involved can become experts in their own specific areas.

As a result, they can complete their tasks more quickly and with higher quality. This leads to increased overall productivity and higher output. For example, in a car manufacturing company, workers are divided into different stations or departments such as assembly, welding, painting, and testing.

Each worker in each department focuses on their specific task, such as attaching the wheels, welding the chassis, or applying the paint. This specialization enables the company to produce cars at a faster rate and with better quality than if each worker had to do all the tasks themselves.

Therefore, division of labour leads to increased productivity and total output by allowing individuals to specialize in specific tasks, perform them more efficiently, and collectively contribute to the overall goal.

The act of selling in a foreign market at a price lower than the cost price is called

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The correct answer is **dumping**. Dumping is the act of selling products in a foreign market at a lower price than what it cost to produce them. This practice allows the exporter to gain a competitive advantage over local businesses in the foreign market, as they can offer lower prices to attract customers and potentially drive local producers out of business. Dumping is often seen as an unfair trade practice because it can harm domestic industries by creating an unlevel playing field. It can also lead to anti-dumping measures being imposed by the importing country to protect its industries. To summarize, dumping involves selling products in a foreign market at a price lower than the cost price, giving the exporter a competitive advantage but potentially harming local industries.

A business organization that exploits the capabilities of a member to remedy the weakness of another is a

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A business organization that exploits the capabilities of a member to remedy the weakness of another is a cooperative. In a cooperative, individuals or businesses come together voluntarily to pool their resources, skills, and knowledge for mutual benefit. The members of a cooperative work together to address their weaknesses by leveraging the strengths of others. This collaboration helps to improve the overall efficiency and productivity of the cooperative. Cooperatives operate on the principle of "working together" rather than competing against each other. By sharing resources, expertise, and responsibilities, the members can achieve common goals that may not have been possible individually. The cooperative structure allows members to contribute their unique skills and abilities to fill any gaps or weaknesses within the organization. This collective effort promotes collaboration, problem-solving, and shared decision-making. Overall, a cooperative is a business organization that fosters cooperation among its members to maximize their strengths and overcome weaknesses collectively.

Which of the following legislation aims primarily at the protection of consumers?

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The legislation that aims primarily at the protection of consumers is the Trade Description Act. The Trade Description Act is a law that is specifically designed to safeguard the interests of consumers. Its main purpose is to prevent businesses from misleading or deceiving consumers about the goods or services they are offering. Under this act, businesses are required to provide truthful and accurate information about their products or services. They are not allowed to make false claims or misrepresent the quality, quantity, or any other important aspect of their offerings. This act also ensures that consumers have the right to receive goods or services that match the descriptions provided by the businesses. If a consumer feels that they have been misled or deceived by a business, they can take legal action against the business and seek compensation for any damages or losses incurred. In summary, the Trade Description Act is a legislation that primarily focuses on protecting consumers by prohibiting businesses from providing false or misleading information about their products or services. Its aim is to ensure that consumers are well-informed and can make informed decisions when purchasing goods or services.

Money is generally acceptable for transaction due to

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Money is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular country.

Legal tender is any official medium of payment recognized by law that can be used to extinguish a public or private debt, or meet a financial obligation

The type of activity which turns processed raw materials into consumer and industrial goods is described as

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The type of activity which turns processed raw materials into consumer and industrial goods is known as manufacturing.

Manufacturing involves the transformation of raw materials or components into finished products through various processes. These processes can include assembly, fabrication, mixing, shaping, or refining, depending on the nature of the raw materials and the desired end product.

In manufacturing, value is added to the raw materials by converting them into something that has more utility and satisfies consumer needs or industrial requirements.

For example, a manufacturer may take steel and shape it into car parts, or they may take fabric and sew it into clothing. This process is essential in meeting consumer demands and providing a wide range of goods for everyday life.

Without manufacturing, we would not have the vast array of products available to us, such as cars, electronics, furniture, clothes, and more.

In summary, manufacturing is the activity that transforms raw materials into finished goods through various processes, adding value and creating products that meet consumer and industrial needs.

The function of commerce in relation to production is

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The function of commerce in relation to production is to provide a link between the different stages of the conversion of goods. Commerce plays a vital role in supplying raw materials from nature, facilitating the production process, and delivering the finished goods to the consumers.
Firstly, commerce helps in the extraction of raw materials from nature. This involves activities such as mining, farming, fishing, and forestry. Commerce enables these materials to be collected and transported to the production sites where they can be transformed into finished goods.
Secondly, commerce plays a crucial role in the conversion process. It involves various activities such as manufacturing, processing, packaging, and assembling. These activities are carried out by producers to convert raw materials into finished products that can be sold to consumers. Commerce helps in coordinating these different stages and ensuring a smooth flow of goods throughout the production process.
Lastly, commerce is responsible for satisfying the demands of consumers. It involves marketing, distribution, and selling of the finished goods to the consumers. Commerce helps in identifying the needs and wants of consumers and ensuring that the right products reach the right people at the right time. This involves activities such as advertising, selling, and customer service.
In conclusion, the function of commerce in relation to production is to provide a link between the different stages of the conversion of goods. It facilitates the extraction of raw materials, coordinates the production process, and ensures the satisfaction of consumer demands. Commerce plays a vital role in connecting producers with consumers and ensuring the smooth flow of goods in the economy. It is an essential component of the overall process of production and distribution in any economy.

A major function of chamber of commerce is

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The major function of a chamber of commerce is promoting both home and foreign trade.

This means that the chamber of commerce works to support and encourage businesses in their local community to engage in trade activities, both within the country (home trade) and with other countries (foreign trade).

The chamber of commerce plays a vital role in creating opportunities for businesses to connect with potential customers, suppliers, and partners. They facilitate trade exhibitions, networking events, and business conferences, where companies can showcase their products and services to a wider audience. By promoting trade, the chamber of commerce helps businesses expand their market reach, increase sales, and grow their profitability.

This not only benefits the individual businesses but also contributes to the overall economic development of the region. In addition to promoting trade, the chamber of commerce also provides support and resources to businesses to help them increase productivity.

This can include offering training programs, access to business development resources, and advocating for policies that foster a favorable business environment.

Promoting trade in a particular line is a narrower focus and not the major function of a chamber of commerce. While they may support specific industries or sectors within their community, their primary role is to promote trade in a broader sense, considering the interests and needs of all businesses.

Furthermore, maximizing profit is not the primary objective of a chamber of commerce. While they aim to support the success and profitability of businesses, their main focus is on fostering a conducive business environment and facilitating trade, rather than exclusively focusing on individual profit maximization.

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The Nigerian Stock Exchange consists of the primary and secondary markets. The primary market is where new securities, such as stocks and bonds, are issued for the first time. This is also known as the initial public offering (IPO) market, where companies raise capital by selling their shares to the public. On the other hand, the secondary market is where previously issued securities are bought and sold among investors. This is where individuals and institutions trade these securities after they have been issued in the primary market. The secondary market is also known as the stock market or the equity market. Therefore, the correct answer is the **secondary and primary market**.

Factors considered when setting up a retail business is one of the following

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The factors are: capital, pricing policy, source of supply, type of goods, terms of trade, experience, advertising, location of the business.

A major merit of the retaining middlemen is to

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A major merit of retaining middlemen is that they can stock goods produced by different manufacturers. This means that middlemen can hold a variety of products from various manufacturers in their inventory. By doing so, they provide consumers with a wider range of choices when it comes to selecting products. Having middlemen stock goods from different manufacturers is advantageous because it allows for easy access to a diverse selection of products in one location. This can be especially helpful for consumers who may not have the time or ability to visit multiple manufacturers or stores to find the products they need. Additionally, middlemen can also help manufacturers by acting as a distribution channel for their products. Instead of each manufacturer needing to establish their own distribution network, they can rely on middlemen to stock and distribute their goods. This saves manufacturers time and resources, as they can focus on their core business activities. In summary, retaining middlemen allows for the stocking of goods produced by different manufacturers. This provides consumers with a wider range of choices and convenience, while also helping manufacturers by serving as a distribution channel for their products.

A system where customer patronage is sought by producing what they need is referred to as

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A system where customer patronage is sought by producing what they need is referred to as market orientation. Market orientation is an approach adopted by businesses where they prioritize understanding customer needs and preferences. Rather than focusing solely on promoting or selling their products, market-oriented companies aim to produce goods and services that align with customer demands. In a market-oriented system, businesses conduct thorough market research to identify consumer needs, preferences, and trends. This information is then used to develop and modify their products to meet these specific requirements. The key point is to focus on customer satisfaction by delivering products that fulfill their needs, wants, and expectations. By adopting a market orientation, businesses can effectively tailor their products and marketing strategies to meet customer demands, resulting in increased customer satisfaction and long-term success.