Business Organizations - Jamb Economics Past Questions and Answers

Question 36:

• JAMB 1983

Which of the following enterprises does NOT pursue the sole objective of profit maximization?

A. Roads of Nigeria Ltd
B. Union Bank of Nigeria Ltd
C. Nigeria Electric Power Authority
D. Volkswagen (VW) Nigeria Ltd
E. Kingsway Nigeria Ltd

Question 37:

• JAMB 1983

In the event of a limited liability company going into liquidation each

A. Shareholder may lose the maximum of the amount he has invested
B. Shareholder loses nothing
C. Shareholders loses everything including his house
D. Shareholder''s liability becomes unlimited
E. Shareholder will lose the amount he has invested plus a proportion of his bank account

Question 38:

• JAMB 1983

NEPA as a public corporation is?

A. A power generating industry in Nigeria
B. Organized in a perfect competitive market
C. A duopoly
D. A monopolistically competitive industry
E. A monopoly

Question 39:

• JAMB 1984

One disadvantage of sole proprietorship is its?

A. Limited libility
B. High profits
C. High sense of ownership
D. Low credit rating
E. Low failure rate

Question 40:

• JAMB 1984

Which of the following is NOT true of debentures and debenture holders?

A. Debentures are instruments for rising long-term capital by limited liability companies
B. Debenture are fixed interest-bearing securities with specified maturity dates
C. Debentures holders are creditors to the company and therefore do not share in the risk of the company
D. Debenture holders are entitled to interest payments whether or not profits are made
E. Preference shareholders recieve their share of profits before debenture holders receive their entitlements