Commerce NABTEB exam past questions and answers

Commerce NABTEB exam past questions and answers

Here they are;

Question: What is the primary purpose of marketing?

a) Maximizing profits

b) Minimizing costs

c) Creating customer value

d) Controlling competition

Answer: c) Creating customer value

Question: What does ROI stand for in business?

a) Return on Investment

b) Revenue on Investment

c) Rate of Income

d) Risk of Inflation

Answer: a) Return on Investment

Question: Which financial statement represents a company's financial position at a specific point in time?

a) Income statement

b) Cash flow statement

c) Balance sheet

d) Statement of retained earnings

Answer: c) Balance sheet

Question: What is the purpose of a SWOT analysis in business?

a) Assessing employee performance

b) Analyzing market trends

c) Evaluating internal strengths and weaknesses

d) Identifying social media opportunities

Answer: c) Evaluating internal strengths and weaknesses

Question: In e-commerce, what does "B2B" stand for?

a) Business to Consumer

b) Business to Business

c) Buyer to Buyer

d) Brand to Brand

Answer: b) Business to Business

Question: What is the role of a CFO in a company?

a) Managing human resources

b) Overseeing financial activities

c) Leading marketing campaigns

d) Handling customer support

Answer: b) Overseeing financial activities

Question: What is inflation?

a) Increase in the supply of money

b) Decrease in the general price level of goods

c) Increase in the general price level of goods

d) Stability in the economy

Answer: c) Increase in the general price level of goods

Question: What does the term "Liquidity" refer to in finance?

a) Ability to turn assets into cash

b) Long-term debt obligations

c) Profit margin ratio

d) Market share percentage

Answer: a) Ability to turn assets into cash

Question: What is the main function of the World Trade Organization (WTO)?

a) Regulating global currencies

b) Promoting international trade

c) Controlling inflation rates

d) Managing environmental policies

Answer: b) Promoting international trade

Question: What is a monopoly?

a) A market with many sellers

b) A market with one buyer

c) A market with one seller

d) A market with no competition

Answer: c) A market with one seller

Question: What is the purpose of a profit and loss statement?

a) Show the company's financial position at a specific point in time

b) Summarize revenues, costs, and expenses over a specific period

c) Analyze a company's liquidity

d) Outline the company's marketing strategy

Answer: b) Summarize revenues, costs, and expenses over a specific period

Question: What does the term "Supply Chain" refer to in business?

a) Distribution of goods to consumers

b) The network of activities involved in delivering a product or service

c) Sales and marketing strategies

d) Inventory management

Answer: b) The network of activities involved in delivering a product or service

Question: In the context of international trade, what does FOB stand for?

a) Free On Board

b) Freight on Buyer

c) Forward Order Booking

d) Financial Order Balance

Answer: a) Free On Board

Question: What is a franchise business model?

a) A government-owned enterprise

b) A business owned and operated by the government

c) A business model where individuals purchase the right to operate a business using an established brand

d) A business model focused on online sales only

Answer: c) A business model where individuals purchase the right to operate a business using an established brand

Question: What is the purpose of a marketing mix?

a) Calculating production costs

b) Setting financial goals

c) Developing a product strategy

d) Combining elements to satisfy customers' needs

Answer: d) Combining elements to satisfy customers' needs

Question: What is the function of the Securities and Exchange Commission (SEC)?

a) Regulating the stock market and protecting investors

b) Managing international trade agreements

c) Controlling interest rates

d) Enforcing labor laws

Answer: a) Regulating the stock market and protecting investors

Question: What is the significance of a patent in business?

a) Protection of a company's logo

b) Protection of a unique product or invention

c) Protection of financial data

d) Protection of market share

Answer: b) Protection of a unique product or invention

Question: What is the purpose of a credit score?

a) Evaluating a person's ability to manage debt

b) Assessing a company's profitability

c) Determining inflation rates

d) Analyzing market trends

Answer: a) Evaluating a person's ability to manage debt