Practice Post UTME DELSU commerce 2025 Past Questions

Question 1

In a foreign trade transaction, a Nigerian exporter agrees to sell 1000 units of goods to a foreign buyer at a price of 10 per unit. However, due to a change in market conditions, the exporter wants to renegotiate the price. If the exporter is willing to accept a lower price, which of the following options would be a better alternative?

A. 8 per unit

Correct B. 9 per unit

C. 11 per unit

D. 12 per unit

Correct Answer: B

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Question 2

A consumer protection agency receives a complaint from a customer who purchased a defective product. The product was sold with a one-year warranty, but the customer claims that the product failed after only six months of use. Which of the following options is the most appropriate course of action for the agency?

Correct A. Request the manufacturer to replace the product

B. Request the manufacturer to provide a refund

C. Request the manufacturer to provide a partial refund

D. Close the case as the warranty period has expired

Correct Answer: A

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Question 3

A bank offers a loan of ₦500,000 to a customer at an interest rate of 12% per annum. If the customer repays the loan in 5 years, how much will the customer pay in total?

A. ₦625,000

B. ₦650,000

C. ₦675,000

Correct D. ₦700,000

Correct Answer: D

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Question 4

A company has a warehouse with a capacity to store 1000 units of goods. If the company receives an order for 800 units of goods, what is the probability that the warehouse will be full?

A. 0.8

B. 0.6

C. 0.4

Correct D. 0.2

Correct Answer: D

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Question 5

A production company produces two products, A and B. Product A requires 2 hours of labor and 1 hour of machine time, while product B requires 1 hour of labor and 2 hours of machine time. If the company has 10 hours of labor and 12 hours of machine time available, how many units of product A and product B should the company produce to maximize profit?

A. 10 units of A and 12 units of B

Correct B. 12 units of A and 10 units of B

C. 15 units of A and 9 units of B

D. 9 units of A and 15 units of B

Correct Answer: B

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Question 6

A company is sued for violating the Consumer Protection Act. The company's defense is that the consumer failed to read the fine print on the contract. However, the consumer claims that the print was too small to read. Which of the following is the most likely outcome?

A. The court will rule in favor of the company.

Correct B. The court will rule in favor of the consumer.

C. The case will be dismissed due to lack of evidence.

D. The case will be referred to an alternative dispute resolution body.

Correct Answer: B

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Question 7

A warehouse has a storage capacity of 10,000 units. The warehouse is currently 70% full. If 500 units are added to the warehouse, what is the new percentage of capacity?

A. 60%

Correct B. 65%

C. 70%

D. 75%

Correct Answer: B

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Question 8

A company uses a just-in-time inventory system. If the company's supplier is unable to deliver goods on time, what is the likely outcome?

Correct A. The company will experience a shortage of inventory.

B. The company will experience an overstock of inventory.

C. The company will experience no impact on inventory levels.

D. The company will experience an increase in inventory costs.

Correct Answer: A

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Question 9

A company is considering two different modes of transportation for its goods: road and rail. Which of the following is a key advantage of rail transportation?

A. Rail transportation is faster than road transportation.

B. Rail transportation is more environmentally friendly than road transportation.

Correct C. Rail transportation is more cost-effective than road transportation.

D. Rail transportation is more reliable than road transportation.

Correct Answer: C

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Question 10

A company has a policy of paying its employees a bonus of 10% of their salary if they meet their sales targets. If an employee's salary is ₦100,000 and they meet their sales targets, how much will they receive as a bonus?

A. ₦10,000

Correct B. ₦11,000

C. ₦12,000

D. ₦13,000

Correct Answer: B

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Question 11

In a sole proprietorship, the owner's personal assets are not protected from business liabilities. What is the primary reason for this?

A. The business is not registered as a separate entity.

B. The owner has not obtained necessary licenses.

Correct C. The owner's personal assets are not separated from business assets.

D. The business is not insured against liabilities.

Correct Answer: C

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Question 12

A company's articles of association may provide for the issue of preference shares. What is the primary advantage of preference shares?

A. Preference shares have a higher dividend rate than ordinary shares.

B. Preference shares have a higher voting power than ordinary shares.

Correct C. Preference shares have a higher claim on assets in the event of liquidation.

D. Preference shares are more easily transferable than ordinary shares.

Correct Answer: C

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Question 13

A consumer protection agency has received a complaint about a company's unfair trading practices. What is the primary action the agency should take?

Correct A. Investigate the complaint and gather evidence.

B. Issue a warning to the company and require them to cease the unfair practice.

C. Prosecute the company for violating consumer protection laws.

D. Refer the complaint to a court for adjudication.

Correct Answer: A

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Question 14

A company is considering exporting its products to a foreign market. What is the primary factor the company should consider?

A. The company's production costs and pricing strategy.

B. The company's marketing and sales strategy.

C. The company's ability to adapt to local market conditions.

Correct D. The company's financial resources and risk tolerance.

Correct Answer: D

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Question 15

A production manager is considering implementing a just-in-time (JIT) inventory system. What is the primary benefit of JIT?

Correct A. Reduced inventory costs and improved cash flow.

B. Improved product quality and reduced waste.

C. Increased flexibility and responsiveness to changing demand.

D. Enhanced customer satisfaction and loyalty.

Correct Answer: A

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Question 16

In a perfectly competitive market, the law of supply states that as the price of a good increases, the quantity supplied will

A. increase

Correct B. decrease

C. remain constant

D. shift to the left

Correct Answer: B

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Question 17

A firm's production function is given by Q = 2L^0.5K^0.5. If the firm wants to produce 16 units of output, and the price of labor is ₦100 per unit, and the price of capital is ₦200 per unit, how much will it cost the firm to produce 16 units of output?

A. ₦1600

Correct B. ₦3200

C. ₦6400

D. ₦12800

Correct Answer: B

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Question 18

A company has a budget constraint of ₦100,000 to spend on advertising and marketing. If the price of advertising is ₦50 per unit, and the price of marketing is ₦75 per unit, and the company wants to spend at least ₦20,000 on advertising, how much will it spend on marketing?

A. ₦30,000

B. ₦35,000

C. ₦40,000

Correct D. ₦45,000

Correct Answer: D

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Question 19

A firm's demand function is given by Q = 100 - 2P. If the price of the good is ₦50, how many units will the firm sell?

A. 20

Correct B. 30

C. 40

D. 50

Correct Answer: B

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Question 20

A company has a production function given by Q = 2L^0.5K^0.5. If the price of labor is ₦100 per unit, and the price of capital is ₦200 per unit, and the company wants to produce 16 units of output, what is the minimum cost of production?

A. ₦1600

Correct B. ₦3200

C. ₦6400

D. ₦12800

Correct Answer: B

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Question 21

The concept of comparative advantage in international trade suggests that countries should specialize in producing goods for which they have a lower opportunity cost. Which of the following countries is likely to specialize in producing textiles?

Correct A. Country A, which has a lower opportunity cost of producing textiles

B. Country B, which has a higher opportunity cost of producing textiles

C. Country C, which has a similar opportunity cost of producing textiles

D. Country D, which has a lower opportunity cost of producing electronics

Correct Answer: A

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Question 22

A firm's production function is given by Q = 2L^0.5K^0.5, where Q is the quantity produced, L is labor, and K is capital. If the firm wants to produce 100 units of output, how much labor should it hire if it has 4 units of capital?

A. 10 units of labor

Correct B. 20 units of labor

C. 30 units of labor

D. 40 units of labor

Correct Answer: B

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Question 23

A consumer has a budget constraint of 100 units of currency and a preference for two goods, A and B. The prices of the goods are 5 units of currency for A and 10 units of currency for B. Using the budget constraint, what is the maximum amount of good A the consumer can buy?

A. 10 units of good A

Correct B. 20 units of good A

C. 30 units of good A

D. 40 units of good A

Correct Answer: B

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Question 24

A firm's revenue function is given by R = 2Q^2, where R is revenue and Q is quantity produced. If the firm produces 10 units of output, what is its revenue?

A. 20 units of revenue

Correct B. 40 units of revenue

C. 60 units of revenue

D. 80 units of revenue

Correct Answer: B

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Question 25

A consumer has a preference for two goods, A and B. The prices of the goods are 5 units of currency for A and 10 units of currency for B. Using the indifference curve analysis, what is the consumer's optimal bundle of goods?

Correct A. 10 units of good A and 5 units of good B

B. 20 units of good A and 10 units of good B

C. 30 units of good A and 15 units of good B

D. 40 units of good A and 20 units of good B

Correct Answer: A

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