WAEC Commerce 1992 Theory question 104

(a) Importance (any five): storage of goods produced ahead of demand; creates time utility – goods available when needed; price stability by releasing goods gradually; allows continuous production; bonded warehouses let importers delay paying duty until goods are sold; goods can be blended, packed, graded there; protects goods from damage and theft; warehouse warrant can be used to sell goods or as security for loans; provides employment.
(b) Factors (any five): nearness to customers/population (market); competition in the area; accessibility and transport facilities; cost of rent or land; availability of security; availability of amenities (water, electricity); nearness to suppliers/wholesalers; government regulations (zoning, permits); availability of capital.

Explain each point briefly.