POST UTME JOSEPH AYO BABALOLA UNIVERSITY 2018 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company is considering two different marketing strategies for its new product. Strategy A involves a high initial investment of ₦10 million, but it is expected to generate ₦20 million in revenue per year for 5 years. Strategy B involves a low initial investment of ₦2 million, but it is expected to generate ₦15 million in revenue per year for 3 years. Which strategy should the company choose?
A. Strategy A
B. Strategy B
C. Both strategies are equally profitable
D. Neither strategy is profitable
Question 2
A firm's marketing strategy involves creating a unique selling proposition (USP) to differentiate its product from competitors. What is the primary benefit of a USP?
A. Increased market share
B. Improved brand recognition
C. Enhanced customer loyalty
D. Reduced production costs
Question 3
A business is considering implementing a new communication system to improve employee collaboration. What is the primary benefit of this investment?
A. Improved employee morale
B. Enhanced customer relationships
C. Increased productivity and efficiency
D. Better decision-making
Question 4
A company has a share capital of ₦1,000,000, divided into 100,000 ordinary shares of ₦10 each. If the company issues 20,000 shares to the public, how much will the company receive?
A. ₦200,000
B. ₦400,000
C. ₦600,000
D. ₦800,000
Question 5
A firm's demand function is given by Q = 100 - 2P, where Q is the quantity demanded and P is the price. If the firm wants to maximize its revenue, what price should it charge?
A. ₦10
B. ₦20
C. ₦25
D. ₦30
Question 6
A consumer protection agency is investigating a complaint about a company's unfair business practices. Which of the following is a likely action the agency may take?
A. Issue a warning letter
B. Conduct a market survey
C. Impose a fine
D. Order a product recall
Question 7
A business owner is considering purchasing a liability insurance policy to protect against potential lawsuits. What is the primary purpose of this type of insurance?
A. To protect against property damage
B. To cover business interruption costs
C. To defend against lawsuits and financial losses
D. To fund employee salaries
Question 8
A firm's production function is given by Q = 2L^0.5H^0.5, where Q is the quantity produced, L is the number of labor hours, and H is the number of hours of capital used. If the firm wants to produce 16 units of output, and it has 4 labor hours available, how many hours of capital should it use?
A. 4
B. 8
C. 16
D. 32
Question 9
A company's marketing strategy involves creating a sense of urgency among customers to purchase its products. Which of the following tactics is most likely to be used?
A. Limited-time offer
B. Free trial
C. Discounts
D. Loyalty program
Question 10
A company is considering two different marketing strategies for its new product. Strategy A involves a high initial investment of ₦10 million, but it is expected to generate ₦20 million in revenue per year for 5 years. Strategy B involves a low initial investment of ₦2 million, but it is expected to generate ₦15 million in revenue per year for 3 years. Which strategy should the company choose?
A. Strategy A
B. Strategy B
C. Both strategies are equally profitable
D. Neither strategy is profitable
Question 11
A firm's marketing mix involves the 4 Ps: product, price, promotion, and place. Which of the following is NOT one of the 4 Ps?
A. Product
B. Price
C. Promotion
D. Packaging
Question 12
In a sole trade business, what is the primary advantage of using a cash-based accounting system?
A. Improved financial control
B. Enhanced customer relationships
C. Increased tax compliance
D. Better inventory management
Question 13
A firm's break-even point (BEP) is the point at which its total revenue equals its total fixed costs. If a firm's BEP is 500 units and its selling price is ₦100 per unit, what is the total fixed cost?
A. ₦50,000
B. ₦75,000
C. ₦100,000
D. ₦125,000
Question 14
A sole trader is considering expanding their business by hiring additional staff. What type of business organization would be most suitable for this purpose?
A. Partnership
B. Limited company
C. Sole trader
D. Cooperative society
Question 15
A company is considering investing in a new transportation system to improve logistics efficiency. What is the primary benefit of this investment?
A. Reduced transportation costs
B. Improved customer satisfaction
C. Increased delivery speed and reliability
D. Enhanced brand reputation

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