{"id":3115,"date":"2023-10-04T11:07:06","date_gmt":"2023-10-04T11:07:06","guid":{"rendered":"http:\/\/localhost\/ecole9ja\/?p=3115"},"modified":"2023-10-04T11:07:44","modified_gmt":"2023-10-04T11:07:44","slug":"week-1-and-2-ss2-second-term-commerce-notes","status":"publish","type":"post","link":"https:\/\/ecolebooks.com\/nigeria\/posts\/week-1-and-2-ss2-second-term-commerce-notes\/","title":{"rendered":"Week 1 and 2 – SS2 Second Term Commerce Notes"},"content":{"rendered":"

SECOND TERM E-LEARNING NOTE
\n\t\t\t\t<\/strong>
\n\u00a0SUBJECT: COMMERCE\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0CLASS: SS 2
\n<\/strong>
\n\u00a0SCHEME OF WORK
\n<\/strong>
\n\u00a0WEEK\u00a0\u00a0\u00a0\u00a0TOPIC
\n<\/strong>1 \u2013 2\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Co-operative Societies
\n\t\t\t<\/strong>3 \u2013 4\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Public Enterprises
\n5 \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Trade Associations\/Chambers of Commerce
\n6\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Industrial Combinations.
\n7-10\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Insurance
\n11\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Revision
\n12.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Examination
\n\t\t\t<\/strong>
\n\u00a0
\n\u00a0WEEK ONE AND TWO\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Date: ____________
\n<\/strong>TOPIC: CO-OPERATIVE SOCIETIES
\n<\/strong>CONTENT
\n<\/strong>1.\u00a0\u00a0\u00a0\u00a0Definition
\n2.\u00a0\u00a0\u00a0\u00a0Principles of Co-operative Societies
\n3.\u00a0\u00a0\u00a0\u00a0Types of Co-operative Societies
\n4.\u00a0\u00a0\u00a0\u00a0Features of Co-operative societies
\n5.\u00a0\u00a0\u00a0\u00a0Advantages and disadvantages of Co-operative societies
\n6.\u00a0\u00a0\u00a0\u00a0Sources of Finance for a Co-operative society
\nA co-operative society is a voluntary association of persons, businessmen, traders or organization with common needs and interests. The resources of members of are pooled together to promote the economic and welfare interest of the members.<\/p>\n

\u00a0PRINCIPLES OF CO-OPERATIVE SOCIETIES
\n<\/strong>Co-operative societies are based on the following principles.
\n1.\u00a0\u00a0\u00a0\u00a0Open and Voluntary membership
\n2.\u00a0\u00a0\u00a0\u00a0Democratic management and control:
\nDecisions are taken by voting and each member of a co-operative society has one vote in all decisions taken by the society. In other words, voting does not depend on members shareholding
\n3.\u00a0\u00a0\u00a0\u00a0Distribution of surplus (i.e. profits) based on participation or patronage
\n4.\u00a0\u00a0\u00a0\u00a0Neutrality in race, politics and religion
\n5.\u00a0\u00a0\u00a0\u00a0Encouragement of the habit of saving and thrift
\n6.\u00a0\u00a0\u00a0\u00a0Promotion of education of members
\n7.\u00a0\u00a0\u00a0\u00a0Protection of members from exploitation of normal market forces
\n8.\u00a0\u00a0\u00a0\u00a0Sale of only pure goods: All goods offered for sale must be good quality (not inferior or imitations)<\/p>\n

\u00a0TYPES OF CO-OPERATIVES SOCIETIES<\/strong>
\n\t\t1.\u00a0\u00a0\u00a0\u00a0Consumers’ Co-operatives Society: <\/strong>This is formed by consumers who pool their resources together to buy essential commodities in bulk direct from manufacturers. Such commodities are then distributed or sold at reasonable prices to members.
\n2.\u00a0\u00a0\u00a0\u00a0Retails Co-operative Society: <\/strong>This is an association formed by many small independent retailers pooling their resources together and buying in bulk either from the manufacturers or wholesalers
\n3.\u00a0\u00a0\u00a0\u00a0Wholesale Co-operative Societies: <\/strong>Association of wholesalers buying in large quantities from the Manufacturer
\n4.\u00a0\u00a0\u00a0\u00a0Producers Co-operative Society: <\/strong>This is an association of producers of similar commodity who have come together for the promotion of the market for their products. They could also purchase tools and raw materials in bulk and share or sell them to members at reduced prices.<\/p>\n

\u00a0FUNCTIONS OF PRODUCERS CO-OPERATIVE SOCIETIES
\n<\/strong>a.\u00a0\u00a0\u00a0\u00a0Negotiation for better prices from buyers
\nb.\u00a0\u00a0\u00a0\u00a0Provision of Joint transport facilities
\nc.\u00a0\u00a0\u00a0\u00a0Provision of specialist advice
\nd.\u00a0\u00a0\u00a0\u00a0Provision of Information
\ne.\u00a0\u00a0\u00a0\u00a0Provision of short \u2013term loans\/Facilitation of loans from specialized institution e.g. World Bank Assisted FADAMA Project
\n<\/strong>f.\u00a0\u00a0\u00a0\u00a0Provision of Joint Storage Facilities
\ng.\u00a0\u00a0\u00a0\u00a0Education of Members <\/p>\n

\u00a05.\u00a0\u00a0\u00a0\u00a0Credit and Thrift Co-operative Society: <\/strong>This is an association of low income earners who jointly pool their resources or fund together by contributing on a weekly or monthly basis. This type of society encourages saving habits among their members and grant loans to the members out of the accumulated fund. The Loan attract a low rate of interest. At times however, non-members too can borrow from such a society but at a higher rate of interest. At the end of the year, surplus will be distributed to members as dividends. The members can also be afforded the opportunity of purchasing household need like television, fridge etc.
\n6.\u00a0\u00a0\u00a0\u00a0Multipurpose Co-operative Society: <\/strong>This is formed by existing co-operative societies. They undertake a variety of co-operative activities that is profitable and serving the interest of members <\/p>\n

\u00a0EVALUATION
\n<\/strong>1.\u00a0\u00a0\u00a0\u00a0List six types of co-operation societies
\n2.\u00a0\u00a0\u00a0\u00a0State four distinguishing features and functions of each of the co-operative societies <\/p>\n

\u00a0FEATURES OR CHARACTERISTICS OF CO-OPERATIVE SOCIETIES
\n<\/strong>i.\u00a0\u00a0\u00a0\u00a0Perpetual existence
\nii.\u00a0\u00a0\u00a0\u00a0Minimum of two members and no maximum limit to the number of members
\niii.\u00a0\u00a0\u00a0\u00a0Liability to the members is limited to the shares held
\niv.\u00a0\u00a0\u00a0\u00a0Members buy shares to contribute the initial capital; extra capital may be raised in from members in the form of loans
\nv.\u00a0\u00a0\u00a0\u00a0Shares are not transferable but can be withdrawal or added to at any time
\nvi.\u00a0\u00a0\u00a0\u00a0Democratic in nature
\nvii.\u00a0\u00a0\u00a0\u00a0Profit (surplus) is shared based on patronage
\nviii.\u00a0\u00a0\u00a0\u00a0It is separate legal entity
\nix.\u00a0\u00a0\u00a0\u00a0Control is in the hands of management committee elected by members
\nx.\u00a0\u00a0\u00a0\u00a0The objective of co-operative society is to promote members interest.<\/p>\n

\u00a0ADVANTAGE OF CO-OPERATIVE SOCIETIES
\n<\/strong>1.\u00a0\u00a0\u00a0\u00a0It encourages thrift and saving habits among members
\n2.\u00a0\u00a0\u00a0\u00a0There is democracy inherent in its control and management
\n3.\u00a0\u00a0\u00a0\u00a0Loans are more easily obtained by members
\n4.\u00a0\u00a0\u00a0\u00a0Perpetual existence: i.e. death of members cannot bring the society to an end
\n5.\u00a0\u00a0\u00a0\u00a0It facilitates improvements in member’s standard of living
\n6.\u00a0\u00a0\u00a0\u00a0They prevent loading of goods
\n7.\u00a0\u00a0\u00a0\u00a0Helps in marketing members products
\n8.\u00a0\u00a0\u00a0\u00a0They encourage investments
\n9.\u00a0\u00a0\u00a0\u00a0They encourage production of high standard products
\n10.\u00a0\u00a0\u00a0\u00a0They could easily obtain loan facilitates from banks or government agencies
\n11.\u00a0\u00a0\u00a0\u00a0They are very prominent in consumer protection activities <\/p>\n

\u00a0DISADVANTAGES OR PROBLEMS OF CO-OPERATIVES SOCIETIES
\n<\/strong>1.\u00a0\u00a0\u00a0\u00a0Problems of loan recovery \u2013 <\/strong>Loan recovery is difficult and in some instances even impossible.
\n2.\u00a0\u00a0\u00a0\u00a0Inefficient Management \u2013 <\/strong>Member elected to manage the business may lack experiences.
\n3.\u00a0\u00a0\u00a0\u00a0Inadequate Capital \u2013 <\/strong>This occurs as a result of the prevalence of low income earners in their membership
\n4.\u00a0\u00a0\u00a0\u00a0<\/strong>Misappropriation and embezzlement of funds
\n5.\u00a0\u00a0\u00a0\u00a0<\/strong>High level of illiteracy among members
\n6.<\/strong>\u00a0\u00a0\u00a0\u00a0Indiscriminate enrolment of members <\/p>\n

\u00a0SIMILARITIES BETWEEN CO-OPERATIVES SOCIETIES AND LIMITED LIABILITY COMPANIES
\n<\/strong>1.\u00a0\u00a0\u00a0\u00a0Both are legal entities
\n2.\u00a0\u00a0\u00a0\u00a0Members buy shares
\n3\u00a0\u00a0\u00a0\u00a0They hold Annual General Meetings (AGM)<\/strong>
\n\t\t4.\u00a0\u00a0\u00a0\u00a0Both are registered
\n5.\u00a0\u00a0\u00a0\u00a0The shareholders (members) receive dividends
\n6.\u00a0\u00a0\u00a0\u00a0Both have perpetual existence <\/p>\n

\u00a0DIFFERENCE BETWEEN CO-OPERATIVE SOCIETIES AND LIMITED LIABILITY COMPANIES<\/p>\n\n\n\n\n\n\n\n\n
\u00a0<\/td>\nPoints \u00a0<\/td>\nCo-operatives Societies \u00a0<\/td>\nLimited Liability Companies \u00a0<\/td>\n<\/tr>\n
1.\u00a0<\/td>\nFormation\u00a0<\/td>\nRegistered under Co-operative law of the ministry of commerce \u00a0<\/td>\nIncorporated under CAMA 1990\n<\/td>\n<\/tr>\n
2.\u00a0<\/td>\nManagement <\/td>\nBy elected Management committee \u00a0<\/td>\nBy elected Board of Directors \u00a0<\/td>\n<\/tr>\n
3.\u00a0<\/td>\nDistribution of Profits \u00a0<\/td>\nOn Patronage basis \u00a0<\/td>\nIn proportion to number of shares held \u00a0<\/td>\n<\/tr>\n
4.\u00a0<\/td>\nMembers voting rights \u00a0<\/td>\nEqual \u00a0<\/td>\nOn the basis of their shareholding \u00a0<\/td>\n<\/tr>\n
5.\u00a0<\/td>\nAim \u00a0<\/td>\nTo promote members welfare <\/td>\nTo maximize profits \u00a0<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

SOURCES OF CAPITAL\/FINANCE FOR A CO-OPERATIVE SOCIETY
\n<\/strong>a.\u00a0\u00a0\u00a0\u00a0Voluntary contribution of members
\nb.\u00a0\u00a0\u00a0\u00a0Retained profits (ploughed \u2013 back profits)
\nc.\u00a0\u00a0\u00a0\u00a0Fines and other special levies
\nd.\u00a0\u00a0\u00a0\u00a0Loans from banks
\ne.\u00a0\u00a0\u00a0\u00a0Loans from government agencies and independent agencies (e.g. N. G. O’S)
\nf.\u00a0\u00a0\u00a0\u00a0Loans from umbrella bodies such as credit unions etc <\/p>\n

\u00a0EVALUATION
\n<\/strong>1.\u00a0\u00a0\u00a0\u00a0State and explain five services rendered by co-operative societies to their members
\n2.\u00a0\u00a0\u00a0\u00a0Give five main similarities and differences each between a retail co-operatives society and a public limited company<\/p>\n

\u00a0GENERAL EVALUATION QUESTIONS
\n<\/strong><\/p>\n

    \n
  1. \n
    Explain five benefits that would be derived when a sole trader admits other partners\n<\/div>\n<\/li>\n<\/ol>\n
      \n
    1. \n
      State five features common to both public and private limited companies\n<\/div>\n<\/li>\n
    2. \n
      State five provisions of a memorandum of association\n<\/div>\n<\/li>\n
    3. \n
      State five disadvantages of international trade\n<\/div>\n<\/li>\n
    4. \n
      Explain five measures a country can take to solve its balance of payments problems\n<\/div>\n

      \u00a0WEEKEND ASSIGNMENT <\/strong>
      \n\t\t\t\t\t
      \n\t\t\t\t\t<\/strong>1.\u00a0\u00a0\u00a0\u00a0The main aim of credit and thrift societies is to (a) Settle disputes among members (b) Educate their members (c) Secure loans for members (d) Encourage savings among members
      \n2.\u00a0\u00a0\u00a0\u00a0In which of the following business units are profits shared on the basis of membership patronage (a) Public enterprise (b) Partnership (c) Co-operative society (d) Public Limited Company
      \n3.\u00a0\u00a0\u00a0\u00a0Which of the following interest holders are settled first in case of a company’s liquidation (a) Board of Directors (b) Debentures holders (c) Ordinary Shareholders (d) Preference Shareholder
      \n4.\u00a0\u00a0\u00a0\u00a0The affairs of the co-operative society are in the hands of the (a) Board of directors (b) Executive members (c) Board of trustee shareholders
      \n5.\u00a0\u00a0\u00a0\u00a0When a company is issued with the certificate of incorporation it is allowed to (a) Acquire premises (b) Come into existence (c) Commence trading (d) Raise Capital <\/p>\n

      \u00a0THEORY
      \n<\/strong>1.\u00a0\u00a0\u00a0\u00a0Name the five major types of business units
      \n2.\u00a0\u00a0\u00a0\u00a0State four problems of retail co-operative in Nigeria<\/p>\n

      \u00a0READING ASSIGNMENT
      \n<\/strong>Essential Commerce for SSS by O. A. Longe Page 166 – 172\n<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"

      SECOND TERM E-LEARNING NOTE \u00a0SUBJECT: COMMERCE\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0CLASS: SS 2 \u00a0SCHEME OF WORK \u00a0WEEK\u00a0\u00a0\u00a0\u00a0TOPIC 1 \u2013 2\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Co-operative…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,250],"tags":[],"class_list":["post-3115","post","type-post","status-publish","format-standard","hentry","category-posts","category-second-term-ss2-commerce"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts\/3115","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/comments?post=3115"}],"version-history":[{"count":1,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts\/3115\/revisions"}],"predecessor-version":[{"id":3116,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/posts\/3115\/revisions\/3116"}],"wp:attachment":[{"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/media?parent=3115"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/categories?post=3115"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ecolebooks.com\/nigeria\/wp-json\/wp\/v2\/tags?post=3115"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}