JAMB Economics Past Questions & Answers - Page 344

1,716.

Industries that can be randomly located are characterized by

A.

Relatively low transport cost for both raw materials and output and factor mobility

B.

Relatively heavy transport cost for raw material or output

C.

Constant returns to scale

D.

Signficant economy of scale

Correct answer is A

No explanation has been provided for this answer.

1,717.

A company is said to be highly geared if the

A.

Value of fixed interest loans is high compared with share capital

B.

Value of shared capital is high compared with fixed interest loans

C.

Dividend rate is high

D.

Interest rate is high

Correct answer is A

No explanation has been provided for this answer.

1,718.

Which of the business organization listed below is characterized by limited authority and liability of the individual owners?

A.

Sole properitorship

B.

Partnership

C.

Joint stock company

D.

Co-operative society

Correct answer is C

No explanation has been provided for this answer.

1,719.

The type of business finance that entitle the holder to a fixed rate of dividend is

A.

Perferred stock

B.

Common stock

C.

Debenture stock

D.

Bank loan

Correct answer is A

No explanation has been provided for this answer.

1,720.

The co-operative as a form of business organization differs from partnership by having

A.

Several sources of capital for business financing

B.

Ability to issue preferred stocks to members

C.

Entrenched democratic control in the conduct of business

D.

Established rules and regulations governing the activities of its members

Correct answer is C

No explanation has been provided for this answer.