(1a) Trade is simply the buying and selling of goods and services while commerce is involved in all activities in the distribution. (1bi) (1bii)ACTIVITIES: (a) Wharehousing: The storage of goods until they are needed thus binding the gap btw demand and supply. (b) Transport: The moving of raw material and finished goods from production point to consumption points through transport. (2a)i) Ownership (ii) Accountability (iii) Not profit oriented (iv) Establishment (v) High capital requirement. (2b)i) Sharesraised by shareholders: Shares are usually raised by shareholders(owners) which form the capital base of the company. (ii) Hire purchase: Facilities can be granted to the company to buy and pay by instalments. (iii) Retained profits: The profits made by the company can be set aside orre-invested. (iv) Equipment leasing: Equipment can be leasedout by companies for money. (v) Trade credit: Raw materials can be purchased by the company on credit. (3a) Mail order business: this is a form of large retaining in which buying and selling is carried out by post. 3b) Six trade in retaiting are: (i) Branding. (ii)Self service. (iii) Vending machines. (iv) Pre-packing. (v) After saler service. (v) credit card. (5)a) Proximate cause: This principle states that only the losses orliabilities which arise from the direct and immediate cause ofthe event insured against are indemnified. (b) Surrender value: This is the amount in cash an insurance company willpay to an endowment policy holder if he wishes to discontinue. (c) Contributions: This states that where a person gap insured a certain risk with many insurance companies, he cannot claim compensation in full from each of the insurance companies. (d) Utmost Good faith: This states that in any insurance contract, all relevant inform that will affect the validity of the agreement must be disclosed by the parties involve. The true values of the property must not be under or overstated. (e) Premium: This is the payment made to an insurance company for an insurance. It can be paid annually or weekly depending on the agreement .
Posted on: Wed, 26 Jun 2013 10:44:42 +0000
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