Public enterprises and their problems - Jamb Economics Past Questions and Answers

Question 11:

• JAMB 1985

When a business has unlimited liability

A. All its profits can be taxed away by the government
B. All its assets are owned by the members of its board of directors
C. The business ceases to exist at the death of one of its owners
D. The owners are responsible for all its financial debts
E. The owners are not responsible for all its financial debts

Question 12:

• JAMB 1986

In a public company, shares are?

A. Sold to one person only
B. Distributed freely
C. Advertised to members of the public for subscription
D. Disposed by the Chief Executive

Question 13:

• JAMB 1990

A major difference between a state-owned enterprise and a private enterprise is that the former?

A. Is not expected to cover its costs of production while the latter is
B. Is not always expected to maximize profits while the latter is
C. Has shareholders while the latter does not
D. Has a board of directors while the latter does not

Question 14:

• JAMB 1993

A public liability company is different from a private limited company because i?

A. Is registered with the registrar of companies
B. Is a legal entity
C. Can raise capital of size by way of loans
D. Can sell shares in the stock exchange

Question 15:

• JAMB 1995

One of the major advantages of public enterprises is that?

A. They are highly subsidize
B. They are the largest employers of labour
C. Their operations are highly standardized
D. They take prompt decisions and actions