POST UTME COAL CITY UNIVERSITY 2020 Commerce | Objective

Are you preparing for POST UTME COAL CITY UNIVERSITY exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2020 Commerce (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A sole trader's business is registered under which of the following?
A. Partnership
B. Limited Liability Company
Correct C. Sole Proprietorship
D. Cooperative Society

Correct Answer: C

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Question 2
A company's articles of association can be amended by a majority vote of the shareholders at a general meeting. Which of the following is a correct statement?
A. The articles of association can be amended by a simple majority vote.
Correct B. The articles of association can be amended by a two-thirds majority vote.
C. The articles of association can be amended by a unanimous vote.
D. The articles of association cannot be amended by a shareholder vote.

Correct Answer: B

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Question 3
A policyholder purchases a life insurance policy with a face value of ₦5 million. The policy has a term of 20 years and a premium of ₦50,000 per annum. What is the probability that the policyholder will survive the term of the policy?
A. 0.95
B. 0.975
C. 0.985
Correct D. 0.995

Correct Answer: D

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Question 4
A consumer purchases a product with a recommended retail price of ₦10,000. The product is on sale for 20% off. What is the amount of discount the consumer will receive?
Correct A. ₦2,000
B. ₦2,500
C. ₦3,000
D. ₦3,500

Correct Answer: A

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Question 5
A company's marketing strategy involves creating a brand identity that is consistent across all channels. Which of the following is a key element of a brand identity?
A. Product features
B. Packaging design
C. Logo design
Correct D. All of the above

Correct Answer: D

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Question 6
In a sole proprietorship, the owner's personal assets are protected from business liabilities through a legal concept known as?
A. Separate Entity Doctrine
Correct B. Limited Liability
C. Piercing the Corporate Veil
D. Business Judgment Rule

Correct Answer: B

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Question 7
A company's Articles of Association may be amended by a special resolution passed by a majority of?
Correct A. Shareholders
B. Directors
C. Members
D. Creditors

Correct Answer: A

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Question 8
A sole trader's business is considered a separate entity from their personal life due to the?
Correct A. Separate Entity Doctrine
B. Limited Liability
C. Piercing the Corporate Veil
D. Business Judgment Rule

Correct Answer: A

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Question 9
A company's Memorandum of Association may be amended by a special resolution passed by a majority of?
Correct A. Shareholders
B. Directors
C. Members
D. Creditors

Correct Answer: A

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Question 10
A sole trader's business is considered a separate entity from their personal life due to the?
Correct A. Separate Entity Doctrine
B. Limited Liability
C. Piercing the Corporate Veil
D. Business Judgment Rule

Correct Answer: A

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Question 11
A firm's revenue function is given by R(x) = 2x^2 + 12x + 15, where x is the number of units sold. If the firm's fixed costs are ₦500, find the break-even point.
A. ₦300
B. ₦400
Correct C. ₦500
D. ₦600

Correct Answer: C

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Question 12
A company has a warehouse with a capacity of 1000 units. The warehouse is currently 75% full. If 150 units are added to the warehouse, what is the new percentage of capacity?
A. 80%
Correct B. 85%
C. 90%
D. 95%

Correct Answer: B

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Question 13
A firm's cost function is given by C(x) = 2x^2 + 10x + 20, where x is the number of units produced. If the firm's selling price is ₦50 per unit, find the profit-maximizing level of production.
A. 200 units
Correct B. 250 units
C. 300 units
D. 350 units

Correct Answer: B

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Question 14
A company has a cash balance of ₦100,000 and a credit balance of ₦50,000. If the company makes a payment of ₦20,000, what is the new cash balance?
Correct A. ₦80,000
B. ₦90,000
C. ₦100,000
D. ₦110,000

Correct Answer: A

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Question 15
A firm's revenue function is given by R(x) = 3x^2 + 15x + 20, where x is the number of units sold. If the firm's fixed costs are ₦500, find the break-even point.
A. ₦300
B. ₦400
Correct C. ₦500
D. ₦600

Correct Answer: C

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Question 16
In a just-in-time inventory system, what is the primary goal of the warehouse manager?
A. To minimize inventory costs
B. To maximize storage capacity
Correct C. To ensure timely delivery of goods
D. To reduce labor costs

Correct Answer: C

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Question 17
A company uses a transportation mode that involves the movement of goods by sea. What is the primary advantage of this mode?
Correct A. Low transportation costs
B. High speed of transportation
C. Flexibility in transportation routes
D. Reliability of transportation

Correct Answer: A

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Question 18
A bank offers a loan with an interest rate of 12% per annum compounded annually. If the principal amount is ₦10,000, what is the amount after 2 years?
A. ₦12,240
B. ₦12,480
C. ₦12,720
Correct D. ₦13,440

Correct Answer: D

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Question 19
A company's foreign trade involves the importation of goods from a foreign country. What is the primary advantage of this trade?
Correct A. Access to new markets
B. Diversification of products
C. Increased competition
D. Improved quality of goods

Correct Answer: A

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Question 20
A warehouse manager wants to determine the optimal storage capacity for a given product. What is the primary factor to consider?
Correct A. Demand for the product
B. Supply chain efficiency
C. Storage costs
D. Product life cycle

Correct Answer: A

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Question 21
A sole trader's business is considered a separate legal entity from its owner. True or False?
Correct A. True
B. False
C. It depends on the jurisdiction
D. A sole trader's business is not a separate legal entity

Correct Answer: A

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Question 22
A company's Memorandum of Association is a public document that outlines the company's constitution. True or False?
Correct A. True
B. False
C. It depends on the jurisdiction
D. A company's Memorandum of Association is a private document

Correct Answer: A

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Question 23
A sole trader's business is not required to file accounts with the Companies Registry. True or False?
Correct A. True
B. False
C. It depends on the jurisdiction
D. A sole trader's business is required to file accounts with the Companies Registry

Correct Answer: A

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Question 24
A company's Articles of Association can be amended by a simple majority vote of the shareholders. True or False?
A. True
B. False
C. It depends on the jurisdiction
Correct D. A company's Articles of Association can only be amended by a special resolution

Correct Answer: D

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Question 25
A sole trader's business is not required to have a separate bank account. True or False?
Correct A. True
B. False
C. It depends on the jurisdiction
D. A sole trader's business is required to have a separate bank account

Correct Answer: A

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