JAMB Commerce Past Questions & Answers - Page 120

Extractive industries are the businesses that take raw materials, including oil, coal, gold, iron, copper, and other minerals, from the earth.

Transportation refers to the activity that facilitates the physical movement of goods as well as individuals from one place to another. In business, it supports trade and industry in carrying raw materials to the place of production and distributing finished products for consumption.

The Securities and Exchange Commission (SEC), is the apex regulatory institution of the Nigerian capital market. We all know the capital market is where long-term securities are sold, and shares fall under long-term securities.

Credit instruments are items that are used in the place of currency. This means that they are legal and can be tendered in business transactions as a means of payment. From the options above, the cheque falls into this category.

A business transaction can be paid for in cash or a cheque.

Commercial banks lend large amounts of funds to businesses or corporate entities at a predetermined interest rate. They only lend to companies requiring medium to long-term finances, which is usually large scale.