POST UTME CALEB UNIVERSITY 2020 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's insurance policy has a deductible of ₦10,000. If the company incurs a loss of ₦50,000, what is the amount the insurance company pays?
A. ₦40,000
B. ₦30,000
C. ₦20,000
D. ₦10,000
Question 2
The Central Bank of Nigeria (CBN) uses the monetary policy instrument of Open Market Operations (OMO) to manage the money supply in the economy. What is the primary objective of OMO in the context of monetary policy?
A. To reduce the money supply in the economy
B. To increase the money supply in the economy
C. To control inflation
D. To stabilize the exchange rate
Question 3
A company's insurance policy has a deductible of ₦10,000. If the company incurs a loss of ₦50,000, what is the amount the insurance company pays?
A. ₦40,000
B. ₦30,000
C. ₦20,000
D. ₦10,000
Question 4
A company uses a just-in-time inventory system. What is the primary advantage of this system?
A. Reduced inventory costs
B. Improved customer service
C. Increased efficiency
D. Enhanced product quality
Question 5
A company is considering the use of a warehouse management system. What is the primary function of this system?
A. To manage inventory levels and track shipments
B. To optimize warehouse layout and storage capacity
C. To automate tasks such as receiving and shipping
D. To provide real-time visibility into warehouse operations
Question 6
A company is considering the introduction of a new product line. What type of production specialization would be most appropriate?
A. Vertical specialization
B. Horizontal specialization
C. Product specialization
D. Process specialization
Question 7
A bank has a reserve requirement of 10% on deposits. If a customer deposits ₦10,000,000, what is the amount of cash that the bank must hold in reserve?
A. ₦1,000,000
B. ₦1,500,000
C. ₦2,000,000
D. ₦2,500,000
Question 8
A company has a capital of ₦10,000,000 divided into 10,000 shares of ₦1,000 each. If the company issues 5,000 shares at a premium of ₦200 per share, what is the total amount received from the issue of shares?
A. ₦10,000,000
B. ₦12,000,000
C. ₦15,000,000
D. ₦18,000,000
Question 9
A bank's liquidity ratio is a measure of its ability to meet its short-term obligations. Which of the following is a component of a bank's liquidity ratio?
A. Cash and Bank Balances
B. Loans and Advances
C. Investments
D. Deposits
Question 10
A company is considering the use of just-in-time inventory management. What is the primary benefit of this approach?
A. Reduced inventory costs
B. Improved product quality
C. Increased efficiency in production
D. Enhanced customer satisfaction
Question 11
A company is considering launching a new product in the Nigerian market. The company has conducted market research and has determined that the demand for the product is elastic. What is the implication of this finding for the company's pricing strategy?
A. The company should set a high price for the product
B. The company should set a low price for the product
C. The company should use a penetration pricing strategy
D. The company should use a skimming pricing strategy
Question 12
A country's balance of payments is a statement of its transactions with the rest of the world. Which of the following is a component of a country's balance of payments?
A. Current Account
B. Capital Account
C. Financial Account
D. All of the above
Question 13
A firm's supply chain is a network of activities that create value for the customer. Which of the following is a type of supply chain risk?
A. Operational Risk
B. Strategic Risk
C. Financial Risk
D. Environmental Risk
Question 14
A firm is considering two different modes of transportation for its goods: road and rail. The cost of transporting goods by road is ₦5,000 per kilometer, while the cost of transporting goods by rail is ₦3,000 per kilometer. If the firm needs to transport goods over a distance of 200 kilometers, what is the total cost of transportation by road and rail, respectively?
A. ₦1,000,000 (road), ₦600,000 (rail)
B. ₦1,000,000 (rail), ₦600,000 (road)
C. ₦1,200,000 (road), ₦800,000 (rail)
D. ₦1,200,000 (rail), ₦800,000 (road)
Question 15
A company has decided to launch a new product in a foreign market. The company's marketing strategy involves conducting market research to identify the target audience. What is the primary purpose of market research in this context?
A. To identify the target audience
B. To determine the optimal pricing strategy
C. To create a unique selling proposition
D. To develop a marketing mix

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub: