Correct Answer: B. Telegram

Correct Answer: C. NAFDAC

Correct Answer: B. counter trade

Explanation

(a) Transportation by pipeline is a means of moving liquid and gases from one place to another.

(b)Benefits of transport by air:

• Air transport is the fastest means of transportation.
• The danger of damage to delicate, fragile and perishable goods is reduced to the barest minimum.
• It requires less handling of goods, thereby reducing incidence of pilfering.
• The rate of accidents is minimal.
• It is a more comfortable means of transportation, hence suitable for long journeys.
• The cost of insuring goods conveyed by air is reduced because of the shorter time the insurance company is at risk.
• It costs nothing to provide/maintain air routes.
• Markets are extended as distant markets are easily reached.

(c)Factors to consider in choosing an effective channel of distribution:

• Nature of the product: perishable goods need shorter channels of distribution.
• Competitor’s channels: producers should consider channels used by other producers.
• Cost of the channel: the cost of using a particular channel of distribution should be considered.
• Market size: the number of potential customers will affect the choice of the channel used.
• Financial resources of the producer: the stronger the producer is financially, the lesser the need is for middlemen, hence the need for a short channel.
• Geographical concentration of customers: if customers are concentrated in a particular area, a short channel is required. If customers are widely scattered, a longer channel will be preferred.
• Size of the order: the size of the order will be considered in choosing a channel of distribution.
• Unit value of a product: expensive goods require direct distribution to customers.

Correct Answer: C. Mr. Jumai

Explanation

commercial banks/ merchant banks (i) Deal with both small and big customers/ Deal with large corporate bodies

(ii) Give out short term loans to individuals and businesses/ Give out long term loans to large corporation

(iii) can act as agent to issuing houses/ can act as issuing houses

(iv) partake in all kinds of banking activities/ perform specialised banking activities

b)(i) Order cheque; is a cheque made payable to a person named on it or his order. What this means is that an order Cheque is only paid to the person whose name appears on it or another person to whom he will authorise the bank to pay the money to by endorsing the cheque to be paid to the person. By endorsing an order cheque, it becomes a bearer cheque, which anybody can present for payment.

(ii) Bearer cheque; is a cheque that is made payable to whoever presents it and that is the meaning of word bearer. It does not mean that no name is written on the cheque. This means that anybody can present the cheque in spite of the name written on it and the bank is obliged to honour it. It therefore, means that a bearer cheque is not safe.

(iii) Certified cheque; cheque drawn or ratified by a bank on behalf of a customer. known Banks do this in order to restore confidence or genuiness on a cheque. If a creditor doubts the authencity of a debtor's cheque, the creditor may request the debtor to give him a certified cheque.

(iv) Non-Negotiable cheque; is a cheque carrying a warning to whoever that is accepting it that he has no better right to it than the transferee. The words do not imply that the cheque cannot be endorsed to a third party.

Correct Answer: C. stocks

Correct Answer: A. i,iii and iv only

Correct Answer: C. packaging

Correct Answer: D. deducting all expenses from gross profit and other income