POST UTME CALEB UNIVERSITY 2025 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company is considering exporting its products to a foreign market. The company's export price is ₦1,200,000, and the foreign market's price is ₦1,500,000. If the company's transportation cost is ₦200,000, what is the company's export profit?
A. ₦1,100,000
B. ₦1,200,000
C. ₦1,300,000
D. ₦1,400,000
Question 2
A consumer is considering purchasing a product that has a price of ₦500. However, the consumer is also considering the cost of transportation to the store, which is ₦100. What is the total cost of the product to the consumer?
A. ₦600
B. ₦700
C. ₦800
D. ₦900
Question 3
A company's sole trader has a warehouse with a capacity of 10,000 units. If the company's average stock level is 8,000 units, what is the probability that the stock level will exceed 9,000 units?
A. 0.2
B. 0.4
C. 0.6
D. 0.8
Question 4
A sole trader has a business income of ₦500,000 and a personal income of ₦200,000. What is the total tax liability?
A. ₦60,000
B. ₦80,000
C. ₦100,000
D. ₦120,000
Question 5
A sole trader is a type of business ownership where one person owns and is responsible for the business
A. true
B. false
C. sometimes
D. it depends
Question 6
A firm's insurance policy has a deductible of ₦5,000. If the firm's annual premium is ₦50,000, what is the expected value of the insurance policy?
A. ₦45,000
B. ₦50,000
C. ₦55,000
D. ₦60,000
Question 7
A company's financial statements include the balance sheet, income statement, and cash flow statement. Which statement provides information on a company's liquidity and solvency?
A. Balance sheet
B. Income statement
C. Cash flow statement
D. Statement of changes in equity
Question 8
In a perfectly competitive market, what is the relationship between the marginal revenue product of labor and the market wage?
A. The marginal revenue product of labor is greater than the market wage.
B. The marginal revenue product of labor is less than the market wage.
C. The marginal revenue product of labor is equal to the market wage.
D. The marginal revenue product of labor is unrelated to the market wage.
Question 9
A company's marketing mix consists of product, price, place, and promotion. Which of the following is NOT a component of the marketing mix?
A. Product
B. Price
C. Place
D. Research and Development
Question 10
A company's marketing strategy involves identifying and targeting a specific market segment. What is the main advantage of targeting a specific market segment?
A. Increased market share
B. Improved customer satisfaction
C. Reduced marketing costs
D. Increased competitiveness
Question 11
A company uses the weighted average cost of capital (WACC) method to evaluate investment projects. If the WACC is 12% and the project's expected return is 15%, what is the expected return on investment?
A. 3%
B. 5%
C. 7%
D. 9%
Question 12
A company is considering launching a new product line. The product's expected profit is ₦1,500,000, and the initial investment is ₦2,000,000. If the company's cost of capital is 12% per annum, what is the internal rate of return (IRR) of the project?
A. 15%
B. 12%
C. 18%
D. 20%
Question 13
A firm specializes in producing two goods, A and B, using two inputs, labor and capital. The production functions for A and B are given by the following equations: A = 2L + 3K and B = 4L + 2K, where L is labor and K is capital. If the firm has 10 units of labor and 8 units of capital, what is the opportunity cost of producing one more unit of good A?
A. ₦50
B. ₦75
C. ₦100
D. ₦125
Question 14
A company is considering two different marketing strategies. Strategy A involves a high level of advertising and a low level of sales promotion. Strategy B involves a low level of advertising and a high level of sales promotion. If the company has a budget of ₦100,000, which strategy should it choose?
A. Strategy A
B. Strategy B
C. Both strategies are equally effective
D. Neither strategy is suitable
Question 15
A firm is considering two different marketing strategies for its new product. Strategy A involves a ₦500,000 advertising campaign, while Strategy B involves a ₦750,000 advertising campaign. If the firm's expected sales revenue is ₦3,000,000, what is the break-even point for each strategy?
A. ₦1,250,000
B. ₦1,500,000
C. ₦1,750,000
D. ₦2,000,000

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