POST UTME DELSU 2022 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A sole trader has a business income of ₦500,000 and expenses of ₦300,000. What is the business's profit?
A. ₦200,000
B. ₦300,000
C. ₦400,000
D. ₦500,000
Question 2
In a production economy, specialization occurs when a country focuses on producing a particular good or service in which it has a comparative advantage. What is the primary benefit of specialization in international trade?
A. Increased productivity
B. Improved resource allocation
C. Enhanced economic growth
D. Increased trade deficits
Question 3
What is the primary goal of a sole trader in a business?
A. To maximize profits
B. To minimize risks
C. To increase market share
D. To reduce costs
Question 4
A company is considering the expansion of its operations into a new market. The company's financial manager has identified the following costs associated with the expansion: initial investment costs of ₦10 million, ongoing operational costs of ₦5 million per year, and expected revenue of ₦15 million per year. What is the minimum required rate of return for the company to justify the expansion?
A. 10%
B. 15%
C. 20%
D. 25%
Question 5
A company is considering entering a new market. Which of the following is a major consideration in the decision-making process?
A. The size of the market
B. The level of competition
C. The potential for growth
D. The cultural differences
Question 6
A company is considering implementing a new marketing strategy that involves social media advertising. Which of the following is a key benefit of using social media advertising?
A. It allows for targeted advertising to specific demographics.
B. It is a cost-effective way to reach a large audience.
C. It provides real-time feedback from customers.
D. It is a guaranteed way to increase sales.
Question 7
A company has a production cost of ₦100 per unit and a selling price of ₦150 per unit. If it produces 500 units, what is the profit?
A. ₦25000
B. ₦30000
C. ₦35000
D. ₦40000
Question 8
A firm's production function is given by Q = 2L^0.5H^0.5, where Q is the quantity produced, L is labor, and H is capital. If the firm wants to increase its production by 20% while keeping labor constant at 16 units, how much should it increase its capital?
A. 32 units
B. 64 units
C. 128 units
D. 256 units
Question 9
A company is considering the use of a new production technology that will increase its productivity by 20%. However, the technology will also increase its costs by 15%. What is the net effect of the new technology on the company's profit?
A. Increase in profit
B. Decrease in profit
C. No change in profit
D. Uncertain effect on profit
Question 10
A country has a comparative advantage in producing wheat, but a disadvantage in producing rice. What is the best course of action for the country to take in terms of international trade?
A. To specialize in producing wheat and import rice
B. To specialize in producing rice and import wheat
C. To produce both wheat and rice domestically
D. To impose trade barriers to protect domestic industries
Question 11
A firm's revenue function is given by R(x) = 2x^2 + 10x, where x is the number of units sold. If the firm wants to maximize its revenue, what is the optimal number of units to sell?
A. 5 units
B. 10 units
C. 15 units
D. 20 units
Question 12
A firm's cost function is given by C(x) = 2x^2 + 10x, where x is the number of units produced. If the firm produces 10 units, what is the total cost?
A. ₦100
B. ₦200
C. ₦300
D. ₦400
Question 13
The Consumer Protection Act of 1999 in Nigeria provides for the protection of consumers against unfair trade practices. Which of the following is NOT a provision of the Act?
A. Prohibition of false or misleading advertisements
B. Prohibition of unfair contract terms
C. Compulsory registration of businesses
D. Establishment of a national consumer protection agency
Question 14
A firm is considering exporting its products to a foreign market. Which of the following is a major advantage of exporting?
A. Increased competition from local firms
B. Access to new markets and customers
C. Reduced production costs due to economies of scale
D. Increased risk of currency fluctuations
Question 15
A company has a 10% dividend yield on its shares. If the current market price of the shares is ₦100, what is the dividend per share?
A. ₦10
B. ₦9
C. ₦8
D. ₦7

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