POST UTME NOUN 2025 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A consumer protection agency is responsible for enforcing consumer rights. Which of the following is a key principle of consumer protection?
A. Consumer sovereignty and choice.
B. Fair and honest business practices.
C. Protection of consumer health and safety.
D. Consumer education and awareness.
Question 2
A firm is considering two different marketing strategies for a new product. Strategy A involves using a high level of advertising to create brand awareness, while Strategy B involves using a low level of advertising to focus on product features. If the firm wants to maximize its sales, which strategy should it choose?
A. Strategy A
B. Strategy B
C. Both strategies are equally effective
D. Neither strategy is effective
Question 3
A company has a warehouse with a capacity to store 1000 units of goods. The warehouse is currently 60% full. If 300 units of goods are removed from the warehouse, what percentage of the warehouse is now empty?
A. 20%
B. 30%
C. 40%
D. 50%
Question 4
A sole trader's business is considered a separate legal entity from its owner. Discuss this statement in the context of consumer protection.
A. True, as the business is a separate entity with its own rights and liabilities.
B. False, as the business is an extension of the owner's personal identity.
C. Partially true, as the business has some separate rights but is still subject to the owner's control.
D. False, as the business is not a separate entity and is solely responsible for the owner's actions.
Question 5
A bank's reserve requirement is 10%. If the bank has a cash reserve of ₦100,000 and it wants to increase its lending capacity by 20%, then the amount it can lend is
A. ₦180,000
B. ₦200,000
C. ₦220,000
D. ₦240,000
Question 6
A warehouse manager is responsible for maintaining accurate inventory records. Which of the following is a key principle of inventory management?
A. First-in, first-out (FIFO) inventory management.
B. Last-in, first-out (LIFO) inventory management.
C. Economic order quantity (EOQ) inventory management.
D. Just-in-time (JIT) inventory management.
Question 7
A company has a warehouse with a capacity to store 1000 units of goods. The warehouse is currently 60% full. If 300 units of goods are added to the warehouse, what percentage of the warehouse is now full?
A. 40%
B. 50%
C. 60%
D. 70%
Question 8
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. ₦50
B. ₦60
C. ₦70
D. ₦80
Question 9
A company is considering outsourcing its production to a foreign country. The company has a comparative advantage in producing goods X and Y. What is the primary benefit of outsourcing production?
A. The company can produce goods X and Y at a lower cost.
B. The company can produce goods X and Y at a higher quality.
C. The company can specialize in producing goods X and Y.
D. The company can reduce its labor costs.
Question 10
A company has two warehouses, A and B, with capacities of 500 and 300 units, respectively. Warehouse A has a storage cost of ₦5 per unit, while Warehouse B has a storage cost of ₦7 per unit. If the company has 1200 units to store, how much will it cost to store all the units in Warehouse A and the remaining units in Warehouse B?
A. ₦12,000
B. ₦15,000
C. ₦18,000
D. ₦20,000
Question 11
A firm is considering investing in a new project. The project has a net present value (NPV) of ₦1,000,000 and a payback period of 5 years. What is the primary advantage of this project?
A. The project has a high NPV.
B. The project has a short payback period.
C. The project has a high return on investment (ROI).
D. The project has a low risk.
Question 12
A firm has two production processes, A and B, with costs given by C_A = 2Q_A^2 + 10Q_A and C_B = 3Q_B^2 + 5Q_B. If the firm produces 100 units using process A, what is its total cost?
A. ₦2,500
B. ₦3,000
C. ₦4,000
D. ₦5,000
Question 13
In a perfectly competitive market, the law of diminishing marginal utility implies that the marginal utility of the last unit of a good consumed is always greater than the marginal utility of the first unit consumed. What is the correct statement regarding the law of diminishing marginal utility?
A. The law of diminishing marginal utility states that the marginal utility of the last unit of a good consumed is always greater than the marginal utility of the first unit consumed.
B. The law of diminishing marginal utility states that the marginal utility of the last unit of a good consumed is always less than the marginal utility of the first unit consumed.
C. The law of diminishing marginal utility states that the marginal utility of the last unit of a good consumed is always equal to the marginal utility of the first unit consumed.
D. The law of diminishing marginal utility states that the marginal utility of the last unit of a good consumed is always greater than the marginal utility of the first unit consumed, but only in the short run.
Question 14
A marketing manager is responsible for developing a marketing strategy to increase sales. Which of the following is a key element of a marketing strategy?
A. Market research and analysis.
B. Product development and design.
C. Pricing and distribution strategies.
D. Advertising and promotion campaigns.
Question 15
A marketing campaign has been launched by a company to promote a new product. Discuss the potential impact of this campaign on consumer behavior.
A. The campaign will increase consumer awareness and demand for the product.
B. The campaign will decrease consumer awareness and demand for the product.
C. The campaign will have no impact on consumer behavior.
D. The campaign will increase consumer awareness but decrease demand for the product.

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