Jamb Economics 1988 Past Questions and Answers

Question 26:

• JAMB 1988

The most important limitation on the partner as a form of business enterprise is the?

A. Implication for partners'liability
B. Legal limitation placed on the number of partners
C. Difficulties arising from having two co-ordinate heads of a firm
D. Fact that each partner regardless of the capital he contributes, must have the same voting rights

Question 27:

• JAMB 1988

Under partnership, investors who have no desires to be actively involved in the day-to-day management of such organization, are called?

A. Stockholders
B. Sleeping partners
C. Part-time investors
D. Ordinary partners

Question 28:

• JAMB 1988

Localization of industries refers to the?

A. Tendency to concentrate industries in particular areas
B. Sitting of industries in certain areas
C. Deliberate policy of influencing location of industries generally
D. Zoning of industries

Question 29:

• JAMB 1988

Restriction on credit creation by commercial banks can be effected through?

A. An overdraft
B. Loans and advances
C. Demand deposits
D. Liquidity ratio

Question 30:

• JAMB 1988

Which of the following factors enhances the ability of commercial banks to create money?

A. Reduction in the reserve ratio
B. Leakage of cash out of banking system
C. Excess of reserves
D. Insistence on collateral security