Correct Answer: A. to sell

Correct Answer: B. freight note

Correct Answer: C. double coincidence of wants

Correct Answer: B. an agent

Explanation

a. A second-tier security market is a market where securities of companies that cannot be traded in the first-tier security market are quoted.

b. Advantages of the second-tier market

i. It is an avenue for companies to raise more capital.

ii. It assists and compliments the efforts of the stock exchange market by buying/ selling the shares of companies which cannot be traded on the stock exchange market.

iii. It ensures the survival and development of companies without fear of liquidation in the short run.

iv. It provides financial advices to companies in areas of profitable investments.

v. It helps companies to save advertising cost when shares are floated.

c. Requirement for trading in a second-tier security market

i. The company must be incorporated as a public limited company.

ii. The shareholders must not be less than 100.

iii. The company must sign a general undertaking with the stock exchange market.

iv. It must make available at least 10% of its equity share to the investing public.

v. The financial statement of the company for three years must be submitted to the stock exchange.

vi. A shareholder will not be allowed to either directly or indirectly acquire more than 75% of the issued capital.

Correct Answer: D. bill of lading

Explanation

A bill of lading is a document issued by a carrier to acknowledge receipt of cargo for shipment. A bill of lading is a contract. It covers the specific terms of the transportation agreement between a shipper and a carrier. A bill of lading is also a receipt, because it proves that the carrier accepted the goods and agreed to take them to their agreed-upon destination.

Explanation

a. Factors to be considered by Mr. Touray in locating his shop

(i)Availability of capital:He must consider the amount of money at his disposal for payment of rent, fixtures and stocking of the products.

(ii)Nearness to customers:He must locate his shop where there is demand for his goods.

(iii)Sources of supply of products - The location his shop should be very close to where he can obtain goods with ease.

(iv)Nature of goods: The nature of goods is equally important whether it will be for example, Children's items or foodstuff.

(v)Level of competition:He should consider the number of other traders in the same line of business in the location.

(vi)Accessibility: He should consider the availability of accessible roads to his business premises.

(vii)Government policy: He should consider government policy if any, with regards to location of such business.

(viii) Availability of infrastructure: He should consider the availability of infrastructure such as water and electricity to support the business.

b. Ways a wholesaler can aid Mr. Touray business

(i) All information and advice about the goods and services are gathered from the producers by the wholesalers and then forwarded to Mr. Touray.

(ii) The wholesaler could create awareness of the goods by advertising them and engaging in sales promotion on behalf of Mr. Touray.

(iii) The wholesaler could help Mr. Touray by stocking varieties of goods produced or bought from different manufactures.

(iv) The wholesaler will buy in large quantity and sell in small units to Mr. Touray.

(v) The wholesaler could grant credit facilities to Mr. Touray in order to enable him stock assorted goods at a time.

(vi) The sorting, grading and packaging of goods could be done by the wholesaler to facilitate Mr. Touray's purchases.

(vii) The wholesaler could convey goods to Mr. Touray's shop at no extra cost.

(viii) By storing the goods in the warehouses for some time, this helps to stabilize prices to the advantage of Mr. Touray.

(ix) The wholesaler could sell at a discount to encourage him to buy more and make profit.

Correct Answer: A. rail

Correct Answer: C. counter trade

Correct Answer: A. becomes more efficient

Explanation

The advantages of transferring government-owned assets to the private sector are increased efficiency and profits, largely because competition incentivizes innovation and improvement.