Commercial Activities and Business Fundamentals in West Africa

These flashcards cover key concepts related to commercial activities, business fundamentals, and financial principles in the context of West Africa.

What boosted commercial activities in West Africa?

Contact with Europeans.

What type of service does the police provide in keeping law and order?

A direct service.

What may happen to a business that becomes insolvent?

Liquidation.

Which activity does not belong to extractive occupation?

Carving.

What are the major divisions of commerce?

Trade and auxiliaries to trade.

What is the purpose of a Memorandum of Association?

Regulating a company's internal affairs.

What is the main purpose of branding?

Differentiate goods from other similar goods.

Which facility is not provided by the port authority?

Tarmac.

What can cause a cheque to be dishonored?

Insufficient funds.

What is the term for selling shares to existing shareholders at preferential rates?

Right issue.

The conversion of raw materials into goods is performed by which industry?

The manufacturing industry.

Which of the following is not a factor of production?

Exchange.

What is Adama's average stock?

D12,000.

What is the cost of goods sold for Adama?

D28,000.

What is the rate of stock turnover?

6 times.

What is a source of short-term capital?

Trade credit.

What is the most suitable channel for the sale of an aircraft?

Manufacturer-consumer.

What duty is payable on goods produced locally?

Excise duty.

To whom is an overdraft granted?

Holders of current accounts.

What is the amount of capital used in the day-to-day running of a company?

Working capital.