POST UTME BABCOCK UNIVERSITY 2022 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm has a 20% markup on its products. If a product costs ₦5,000 to produce, what is the selling price?
A. ₦6,000
B. ₦6,000
C. ₦6,000
D. ₦6,000
Question 2
A firm has a 20% markup on its products. If a product costs ₦5,000 to produce, what is the selling price?
A. ₦6,000
B. ₦6,000
C. ₦6,000
D. ₦6,000
Question 3
A marketing manager wants to promote a new product using a combination of advertising and sales promotion. Which of the following is a suitable advertising strategy?
A. Television advertising
B. Print advertising
C. Digital advertising
D. All of the above
Question 4
A company has a fleet of 10 vehicles, each with an average annual mileage of 50,000 kilometers. The company's insurance policy has a deductible of ₦5,000. If the company's annual premium is ₦1,200,000, what is the total cost of insurance per vehicle?
A. ₦120,000
B. ₦125,000
C. ₦130,000
D. ₦135,000
Question 5
A consumer purchases a product from a retailer, but the product does not meet the consumer's expectations. The consumer seeks redress through a legal channel. What type of law governs this situation?
A. Contract law
B. Tort law
C. Property law
D. Consumer protection law
Question 6
A company has a policy of paying its employees a 10% bonus on their annual salary. If an employee earns ₦1,200,000 per year, what is the total amount the employee will receive, including the bonus?
A. ₦1,320,000
B. ₦1,320,000
C. ₦1,320,000
D. ₦1,320,000
Question 7
A company has a warehouse with a capacity of 10,000 units. The company receives a shipment of 5,000 units and already has 3,000 units in stock. What is the total number of units in the warehouse?
A. 8000
B. 10000
C. 12000
D. 15000
Question 8
A consumer purchases a product with a price of ₦20,000. The consumer pays a 10% sales tax and a 5% value-added tax (VAT). What is the total amount paid by the consumer?
A. ₦22,000
B. ₦22,500
C. ₦23,000
D. ₦23,500
Question 9
A warehouse has a storage capacity of 10,000 square meters. If the warehouse is currently occupied by 5,000 square meters of goods, what is the percentage of the warehouse that is occupied?
A. 25%
B. 50%
C. 75%
D. 90%
Question 10
A company is considering the purchase of a new machine. The machine costs ₦500,000 and has a useful life of 5 years. The company expects to sell the machine at the end of its useful life for ₦200,000. What is the annual depreciation of the machine using the straight-line method?
A. ₦50,000
B. ₦60,000
C. ₦70,000
D. ₦80,000
Question 11
A marketing manager is developing a new advertising campaign for a product. The campaign is expected to reach 1 million people and is expected to generate an additional ₦500 million in revenue. If the cost of the campaign is ₦200 million, what is the expected return on investment (ROI) of the campaign?
A. 2.5
B. 3.0
C. 3.5
D. 4.0
Question 12
A consumer purchases a product online and pays ₦10,000. However, upon delivery, the product is damaged. The consumer returns the product and receives a refund of ₦8,000. What is the consumer's loss?
A. ₦1,000
B. ₦2,000
C. ₦3,000
D. ₦4,000
Question 13
In a sole proprietorship business, the owner's personal assets are not protected from business liabilities. What is the correct term for this type of business?
A. Sole Proprietorship
B. Partnership
C. Limited Liability Company
D. Corporation
Question 14
A bank offers a loan to a customer at an interest rate of 12% per annum. The loan is repayable in 5 years. What is the present value of the loan?
A. ₦10,000
B. ₦12,000
C. ₦15,000
D. ₦18,000
Question 15
A sole trader's business is not registered with the Corporate Affairs Commission (CAC). What is the implication of this on the sole trader's business?
A. The sole trader's business is not liable to pay taxes.
B. The sole trader's business is not entitled to issue receipts.
C. The sole trader's business is not required to keep financial records.
D. The sole trader's business is not protected by law.

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