Correct Answer: (c) Acquired Immune Deficiency Syndrome

Correct Answer: B. N20

Correct Answer: B. N12 500

Correct Answer: D. exploiting the country's natural endowment

Correct Answer: C. labour

Correct Answer: A. The Masai of kenya

Correct Answer: C. biosphere

Explanation

(a) State Characteristics of Local Craft Industries:- Individual/family ownership -Skills passed on from generation to generation -Traditional in nature -Simple tools are used - Low technology is used -Local raw materials are used -Less capital intensive -Production is low -Product for local market -Employs few people -Less power supply required -Limited space required -some with long period of apprenticeship-All year round employment Energy/time consuming -Irregular working hours -Small Scale in plant size -Irregular income -Product of high artistic value -Less government support -Needs less electric power -Prices of product are negotiable -?se of family labour-Mostly located in rural areas Shortage -Some practiced on part-time basis.

(b) Identify Limitations of Local Craft Industries:-Shortage of labour -Inadequate capital/little access to loan -Poor/inadequate transport-High freight charges -Taste for foreign products - Shortage of raw materials -Competition from imported substitutes -Low patronage/demand -Limited production -Little or no government support -Irregular working hours -Irregular income -Low interest shown by the youth towards the industry-Limited research application Inadequate publicity.

(C) Explain Factors that have contributed to the High Volume of Trade Between the Developed and Tropical African Countries:--Non similarity of products -Differences in taste and culture - Differences in prices of goods -Preference of imported goods -Political consideration -need to improve standard of living -Political stability -Absence of trade unions or barriers -Differences in import duties -Differences in quality of products -Colonial ties-Differences in climate -Desire for new products -Need for foreign exchange-Generation of revenue --Need for expansion of market -For increased Gross Domestic Products (GDP) -Employment opportunity-Acquisition of skills/expertise-Differences in natural resource endowment-Stimulation of other sectors of the economy -To enhance balance oI payment~Benefit of comparative cost advantage.

Explanation

(a) Differences between hire purchase and deferred payments are:

(i) In hire purchase, the seller retains ownership until the final installment is made whereas in the buyer becomes owner of the goods as soon as initial deposit is made.

(ii) Durable goods are sold under hire purchases whereas less durable goods are sold under deferred payment.

(iii) Hire purchase terms favour the seller whereas deferred payment terms favour the buyers.

(iv) The hire purchase price is higher than the price charged in deferred payment terms.

(v) if the hirer defaults in payment, the seller can repossess the goods, whereas the seller cannot repossess the goods; he may sue the buyer to the court for the balance in deferred payment.

(vi) in hire purchase, the goods are on hire, whereas the goods are sold and to be paid for in future in deferred payment term.

Similarities between hire purchase and deferred payment are:

(i) The same type of goods such as durable capital goods e.g. motocycle may be obtained on either hire purchase or deferred payment terms.

(ii) The goods pass from the seller to the hirer/buyer. Both take possessions of the goods.

(iii) The hirer/buyer may start making use of the goods as soon as he takes possession.

(iv) Full payment of the agreed price is not required immediately, so both accommodate installment payments and give credit facilities.

(b) A trader would prefer the use of cheque to cash for large payments for the following reasons:

(i) It is more convenient to carry about than carrying cash.

(ii) It is safer to carry a cheque than cash in terms of security.

(iii) It saves time and energy to pay a large sum by cheque. Imagine counting one million naira in cash to pay a creditor.

(iv) If a cheque is lost, it is easier to trace than when a large amount of cash is lost.

(v) Cheque stubs help the drawer to keep record of payment. This helps to eliminate arguments that may arise later.

(vi) Large amount of cash are prone to loss through robberies or carelessness. These risks are eliminated through the use of cheques.

(vii) The trader who draws a cheque can stop payment of the cheque by the bank before it is cashed. This is a safeguard in case of fraud or breach of agreement on which the cheque was issued.

Correct Answer: B. more by producers

Explanation

If the demand for a good is elastic it means a change in price would affect a change in quantity demanded. Now if the demand for that good is more elastic than its supply, the tax burden is borne by the producer. This is because, when there is an increase in price it will lead to a decrease in the quantity demanded, consumers would most likely move on to consume a substitute, hence the producer of that product would be left to bear the burden of any other additional increment in taxes or running cost.