POST UTME OAU 2024 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm's current labor and capital inputs are L = 16 and K = 9, respectively, what is the firm's current output?
A. 24
B. 36
C. 48
D. 64
Question 2
The concept of specialization in production refers to the process by which a firm focuses on producing a specific product or service, thereby increasing its efficiency and reducing costs. Which of the following is a characteristic of specialization in production?
A. Increased competition in the market
B. Reduced production costs
C. Improved product quality
D. Increased market share
Question 3
A firm's revenue function is given by R(Q) = 100Q - 2Q^2, where R(Q) is the total revenue and Q is the quantity produced. If the firm produces 50 units, what is the total revenue?
A. 2500
B. 2700
C. 2900
D. 3100
Question 4
A company's marketing strategy involves creating a new product to appeal to a younger demographic. Which of the following is a characteristic of this marketing strategy?
A. Product differentiation
B. Market segmentation
C. Target marketing
D. Positioning
Question 5
The concept of opportunity cost is relevant in the context of
A. production and specialization
B. home and foreign trade
C. consumer protection and business law
D. banking and financial institutions
Question 6
In a perfectly competitive market, the demand curve for a firm's product is its?
A. Supply Curve
B. Demand Curve
C. Marginal Revenue Curve
D. Marginal Cost Curve
Question 7
A firm's cost function is given by C(Q) = 100 + 2Q + 0.01Q^2, where C(Q) is the total cost and Q is the quantity produced. If the firm produces 100 units, what is the total cost?
A. 1200
B. 1300
C. 1400
D. 1500
Question 8
In the context of international trade, what is the primary purpose of the Most Favoured Nation (MFN) clause in a trade agreement?
A. To impose tariffs on imports from other countries
B. To grant preferential treatment to imports from specific countries
C. To ensure that all trade partners are treated equally
D. To restrict imports from certain countries
Question 9
A consumer's indifference curve is given by U = 2X + 3Y, where U is the utility and X and Y are the quantities consumed of two goods. If the consumer's income is 100 and the prices of the two goods are 10 and 20, respectively, what is the consumer's optimal bundle of goods?
A. X = 5, Y = 2
B. X = 10, Y = 1
C. X = 15, Y = 0
D. X = 20, Y = 0
Question 10
A company X is registered under the Companies and Allied Matters Act (CAMA) 2020. The company has a share capital of ₦5,000,000, divided into 500,000 ordinary shares of ₦10 each. What is the company's share capital in naira?
A. ₦5,000,000
B. ₦10,000,000
C. ₦15,000,000
D. ₦20,000,000
Question 11
A firm is considering two different production technologies: Technology A and Technology B. The production functions for these technologies are given by Q_A = 2L^0.5 + 3K^0.5 and Q_B = 3L^0.5 + 2K^0.5. If the firm's current input levels are L = 4 and K = 9, which technology should the firm choose?
A. Technology A
B. Technology B
C. Both technologies are equally efficient
D. Neither technology is efficient
Question 12
A firm is considering implementing a new production process that uses advanced technology. Which of the following is a key advantage of the new process?
A. Increased labor costs
B. Reduced production time
C. Improved product quality
D. Increased energy consumption
Question 13
The concept of comparative advantage is relevant in the context of
A. production and specialization
B. home and foreign trade
C. consumer protection and business law
D. banking and financial institutions
Question 14
A firm's production function is given by Q = 2L^0.5 + 3K^0.5. If the firm's current input levels are L = 4 and K = 9, what is the marginal product of labor?
A. 2.5
B. 1.5
C. 0.5
D. 1
Question 15
In a perfectly competitive market, the supply curve is downward sloping due to the law of increasing marginal opportunity cost. However, this law is not applicable in a market with a single firm, as the firm can influence the market price. What is the name of this market structure?
A. Monopoly
B. Oligopoly
C. Monopolistic Competition
D. Perfect Competition

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