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Commodity exchange - SS1 Commerce Past Questions and Answers - page 1

1

What is a commodity exchange?

A

A marketplace for trading goods and services

B

An organized marketplace for trading commodities

C

A platform for trading stocks and bonds

correct option: b

An organized marketplace for trading commodities

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2

Which of the following is NOT a type of tradable commodity?

A

Agricultural produce

B

Precious metals

C

Textile products

correct option: c

Textile products

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3

What are solid minerals?

A

Minerals found in the earth's crust

B

Minerals used for agricultural purposes

C

Minerals used in the manufacturing of electronics

correct option: a

Minerals found in the earth's crust

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4

Which industry relies on oil and gas commodities?

A

Telecommunications

B

Tourism and hospitality

C

Energy and transportation

correct option: c

Energy and transportation

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5

What is the main purpose of commodity exchanges?

A

Risk management

B

Price discovery

C

All of the above

correct option: c

All of the above

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6

Define a commodity exchange in simple terms.

A commodity exchange is an organized marketplace for trading commodities.

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7

Name one type of tradable commodity other than agricultural produce, solid minerals, or oil and gas.

Precious metals (e.g., gold, silver).

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