Financing Business - Jamb Commerce Past Questions and Answers

Question 41:

• JAMB 2001

The difference between total current assets and total current liabilities of a business is known as

A. Quick ratio
B. Liquidity ratio
C. Working capital
D. Circulating capital

Question 42:

• JAMB 2001

The capital owned is

A. N2,740
B. N 1,350
C. N1,150
D. N570

Question 43:

• JAMB 2001

Use the information below to answer question 20 and 21
Mr Awala is a retailer of a single product. he sells at the standard price. He gives a trade discount of 5%, quantity discount of 3% for a volume above 1000 units and a cash of discount of 2/10 net 30. the existing selling price of the product is N100 per units. Mr Bacus purchased 1500 units of the product on credit and promised to pay Mr. Awala in cash in the first 10 days after purchase.
The trade discount receivable by Mr Bacus is

A. N4,500
B. N7,500
C. N10,500
D. N12,000

Question 44:

• JAMB 2001

If Mr. Bacus fulfills his promise, he will be entitled to a cash discount of?

A. N2,760
B. N3,000
C. 6,500
D. 9,500

Question 45:

• JAMB 2002

the total of share capital which a company should be allowed to issued is known as?

A. Called-up capital
B. Paid-up capital
C. Nominal capital
D. Issued capital