COMMERCE OBJ
1-10: BDBDCBADBA
11-20: CDACBCDCDB
21-30: BDADBABDCA
31-40: CCDCDCCAAA
41-50: BBDADCCADD
No.3a)
(i) The wholesaler as a wealthy trader, gives credit facilities to the retailer.
(ii) The wholesaler act as a guarantor and referee to the retailer when he (the retailer) is dealing with the other businessmen.
(iii) As an expert in business, the wholesaler advises the retailer.
(iv) The wholesler acts as a useful link that connects the retailer to the manufacturer.
3b) LITTLE CAPITAL: Small scale retail trade requires little capital to go into business.(ii) SMALL QUANTITIES: They are able to sell in the smallest quantity. eg: Sugar could be sold in cubes.(iii) LOW OVERHEAD COST: He usually does not incur too much overhead cost like renting a big store.(iv) LONG HOURS OF BUSINESS: The tend to operate till late hours. Customers can defer their purchase till later.(v) ASSISTANCE FROM FAMILY: The small rtailer can easily get financial labour assistance from family members.
8a)
Turn over is the total net sales of any business within a given period of time minus the cost of goods returned back to the business.
8b)
i)Goodwill and reputation of the businessman;-A businessman with a good reputation,and who has the good will of being honest,polite,sound public relations,gives prompt services,always has the advantage of high customers patronage
ii) Advertising and sales promotion;-Business that utilizes advertising and sales promotion extensively records a high rate of turn over than others.
iii)Pricing techniques;- Business that applies low pricing techniques enjoys high rate of turnover than those with high pricing techniques.
iv)Use of credit facilities;-where a businessman grants credit facilities to customers,he will sale more,than where credit facilities are not offered to customers.
v)Location of business;-well located businesses especially those located in busy centres,hearts of the cities knonw by such businesses are bound to record hugh rate of turnover than others
vi)Seasonal goods record high rate of turnover during season and records very low rate of turnover during off season.
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2a)
i)It requires few sales attendant.
ii)it allows customer to do their shopping in a shop with little sales attendant.
iii)security man stand at the gate of a shop that adopt self service for pilfering.
iv)goods are conspiciously arranged and displayed on the shalves of the shop.
v)goods are neatly arranged and displayed on the shelves in order to encourage impuls buying and increase sales
2b)
i)It encourages impulse buying which increase sales
ii)self service quicken customers shopping
iii)self service leads to low price of goods.
iv)it gives customer the chance to make their choice without being confused into buying what they do not want to buy.
v)fewer sales assistance have to be employed bore thereby cutting cost.
2c)
i)it is used as basis for planning
ii)it is a sign of viability of business enterprises
iii)it gies investors d inside strength of the business organisation
iv)its used in measuring the firms capability in paying its debt
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No 4
-Marine insurance covers the loss or damage of ships, cargo, terminals, and any transport or cargo by which property is transferred,
acquired, or held between the points of origin and final destination. Cargo insurance —
discussed here — is a sub-branch of marine
insurance, though Marine also includes
Onshore and Offshore exposed property, container terminals ports, oil platforms pipelines), Hull, Marine Casualty, and Marine
Liability. When goods are transported by mail or courier, shipping insurance is used instead.
-accidental death and
dismemberment (AD&D) is a policy that pays benefits to the beneficiary if the cause of death is an accident. This is a limited form of life insurance which is generally less
expensive.
- Group insurance is an insurance that covers a
defined group of people, for example the
members of a society or professional
association, or the employees of a particular
employer. Group coverage can help reduce
the problem of adverse selection by creating
a pool of people eligible to purchase insurance
who belong to the group for reasons other than the wish to buy insurance, which might be because they are a worse than average
risk.Group insurance may offer life insurance, health insurance, and/or some other types of
personal insurance.
- Fidelity Guarantee insurance is an insurance policy designed to indemnify the Insured (the employer) for the loss of money or property
sustained as a direct result of acts of fraud,
theft or dishonesty by an employee in the
course of employment.
- Consequential loss is considered an indirect
loss (as compared to losses from the direct
damage). Direct damages would be covered under different types of insurance, such as
property/casual or fire insurance, but the firm
still incurs the costs of lost operations.
Q1
i). Commerce tries to satisfy increasing human wants
Human wants are never ending. They can be classified as 'Basic wants' and 'Secondary wants'. Commerce has made distribution and movement of goods possible from one part of the world to the other. Today we can buy anything produced anywhere in the world. This has in turn enabled man to satisfy his innumerable wants and thereby promoting social welfare.
ii). Commerce helps to increase our standard of living
Standard of living refers to quality of life enjoyed by the members of a society. When man consumes more products his standard of living improves. To consume a variety of goods he must be able to secure them first. Commerce helps us to get what we want at right time, right place and at right price and thus helps in improving our standard of living.
iii). Commerce links producers and consumers
Production is meant for ultimate consumption. Commerce makes possible to link producers and consumers through retailers and wholesalers and also through the aids to trade. Consumers get information about different goods through advertisements and salesmanship. The manufacturers are regularly informed about the likes and dislikes of the consumers through marketing research. Thus commerce creates contact between the centers of production and consumption and links them.
iv). Commerce generates employment opportunities
The growth of commerce, industry and trade bring about the growth of agencies of trade such as banking, transport, warehousing, advertising, etc. These agencies need people to look after their functioning. Increase in production results in increasing demand, which further results in boosting employment opportunities. Thus development of commerce generates more and more employment opportunities for millions of people in a country.
v) Commerce increases national income and wealth
When production increases, national income also increases. In a developed country, manufacturing industries and commerce together accounts for nearly 80% of total national income. It also helps to earn foreign exchange by way of exports and duties levied on imports. Thus, commerce increases the national income and wealth of a nation.