POST UTME DELSU 2021 Commerce | Objective

Are you preparing for POST UTME DELSU exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2021 Commerce (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A firm's production function is given by Q = 2L^(1/2)K^(1/2), where Q is output, L is labor, and K is capital. If the firm increases labor from 4 to 9 units, and capital from 9 to 16 units, by how much does output increase?
A. 25%
Correct B. 50%
C. 75%
D. 100%

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A company's marketing strategy involves a 20% discount on all products for the first 100 customers. If the original price of a product is ₦500, how much will a customer pay if they are the 50th customer?
Correct A. ₦400
B. ₦450
C. ₦475
D. ₦500

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A firm's revenue function is given by R = 2x^2 + 5x - 3, where x is the number of units sold. If the firm sells 4 units, what is the revenue?
A. ₦23
Correct B. ₦25
C. ₦27
D. ₦29

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A company's cost function is given by C = 2x^2 + 3x - 1, where x is the number of units produced. If the company produces 5 units, what is the cost?
A. ₦17
B. ₦19
Correct C. ₦21
D. ₦23

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A firm's profit function is given by P = R - C, where R is revenue and C is cost. If the firm's revenue is ₦120 and cost is ₦80, what is the profit?
A. ₦20
B. ₦30
Correct C. ₦40
D. ₦50

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
In a contract of sale, what is the primary responsibility of the seller?
Correct A. To deliver the goods in good condition
B. To provide a warranty for the goods
C. To disclose all defects in the goods
D. To obtain payment from the buyer

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A company is considering the introduction of a new product. The product's demand is expected to be seasonal, with peak demand during the summer months. What type of inventory control system would be most appropriate for this situation?
A. Just-in-time inventory system
B. Economic order quantity (EOQ) system
Correct C. Seasonal inventory system
D. Safety stock system

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A business is considering the purchase of an insurance policy to cover against loss due to fire. The policy has a premium of ₦100,000 per annum. The expected loss due to fire is ₦50,000 per annum. What is the expected value of perfect insurance for this business?
A. ₦50,000
Correct B. ₦75,000
C. ₦100,000
D. ₦125,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company is considering the introduction of a new product. The product's demand is expected to be highly variable, with a coefficient of variation of 0.8. What type of inventory control system would be most appropriate for this situation?
A. Just-in-time inventory system
B. Economic order quantity (EOQ) system
C. Safety stock system
Correct D. Periodic review system

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
A business is considering the purchase of an insurance policy to cover against loss due to theft. The policy has a premium of ₦80,000 per annum. The expected loss due to theft is ₦40,000 per annum. What is the expected value of perfect insurance for this business?
A. ₦40,000
Correct B. ₦60,000
C. ₦80,000
D. ₦100,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
In the context of marketing, what is the primary goal of a product life cycle analysis?
A. To identify potential market segments
B. To determine the optimal price for a product
Correct C. To analyze the product's profitability and growth potential
D. To assess the product's competitive advantage

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A company has a warehouse with a capacity of 10,000 units. The warehouse is currently 70% full. If 500 units are received in a shipment, what is the new percentage of capacity?
A. 60%
Correct B. 65%
C. 70%
D. 75%

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A firm has a marketing budget of ₦1,500,000. If the company allocates 30% of the budget to advertising, how much is allocated to sales promotion?
A. ₦450,000
Correct B. ₦500,000
C. ₦600,000
D. ₦700,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A company uses the weighted average cost method to value its inventory. If the company has two inventory items with the following characteristics: Item A: 100 units @ ₦50 each Item B: 50 units @ ₦75 each What is the total value of the inventory?
A. ₦7,500
B. ₦8,000
Correct C. ₦8,500
D. ₦9,000

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A firm has a market share of 20% in a particular industry. If the industry's total sales are ₦10,000,000, what is the firm's sales revenue?
A. ₦2,000,000
Correct B. ₦2,500,000
C. ₦3,000,000
D. ₦3,500,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
In a competitive market, a firm's demand curve is downward sloping. What is the likely effect on the firm's profit-maximizing price and quantity?
A. The firm's profit-maximizing price and quantity will increase.
B. The firm's profit-maximizing price will decrease, but quantity will increase.
Correct C. The firm's profit-maximizing price and quantity will decrease.
D. The firm's profit-maximizing price will increase, but quantity will decrease.

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
A company is considering two different warehouse locations. Location A has a higher initial investment cost but lower operating costs, while Location B has lower initial investment costs but higher operating costs. Which location should the company choose?
Correct A. Location A, as it has lower operating costs.
B. Location B, as it has lower initial investment costs.
C. Location A, as it has a higher initial investment cost.
D. Location B, as it has higher operating costs.

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A consumer purchases a product with a price of ₦500 and a discount of 10%. What is the new price of the product?
Correct A. ₦450
B. ₦500
C. ₦550
D. ₦600

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A company has a 10% dividend yield on its stock. If the stock price is ₦100, what is the annual dividend payment per share?
Correct A. ₦10
B. ₦100
C. ₦1,000
D. ₦10,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A firm's revenue is ₦1,000,000, and its total fixed costs are ₦200,000. If the firm's variable costs are 20% of its revenue, what is the firm's profit?
Correct A. ₦400,000
B. ₦600,000
C. ₦800,000
D. ₦1,000,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
A company's marketing strategy involves creating a sense of urgency among its customers. This is an example of which of the following marketing tactics?
Correct A. Scarcity
B. Exclusivity
C. Social Proof
D. Liking

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
The following diagram shows a simple circuit with a battery, a resistor, and a switch. If the switch is closed, what will happen to the current flowing through the circuit?
A. The current will increase
B. The current will decrease
Correct C. The current will remain the same
D. The current will become zero

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
A company is considering exporting its products to a foreign market. Which of the following is a key consideration in this decision?
A. The company's production costs
B. The company's marketing strategy
Correct C. The foreign market's cultural and economic conditions
D. The company's financial resources

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
A consumer is considering purchasing a product that has a 2-year warranty. Which of the following is a key benefit of this warranty?
A. The product is of high quality
B. The product is durable
Correct C. The consumer has peace of mind
D. The product is affordable

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
A bank is considering offering a new credit card product to its customers. Which of the following is a key feature of this product?
A. The card has a high credit limit
B. The card has a low interest rate
Correct C. The card has a rewards program
D. The card has a annual fee

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

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:
Chat with Support