POST UTME OSUSTECH 2019 Commerce | Objective

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Question 1
A warehouse is a facility used for storing goods and merchandise. Discuss the importance of inventory management in a warehouse setting.
A. Inventory management is not important in a warehouse setting, as it is not a critical aspect of the business.
B. Inventory management is important in a warehouse setting, as it helps to track and manage stock levels.
C. Inventory management is very important in a warehouse setting, as it helps to reduce costs and improve efficiency.
D. Inventory management is not important in a warehouse setting, as it is a complex and time-consuming process.
Question 2
A company has two warehouses, A and B. Warehouse A has a capacity of 10,000 units and is currently 70% full, while Warehouse B has a capacity of 5,000 units and is currently 50% full. If the company receives an order for 8,000 units, which warehouse should it use to fulfill the order?
A. Warehouse A
B. Warehouse B
C. Either warehouse
D. Neither warehouse
Question 3
A company's break-even point is the point at which its total revenue equals its total fixed costs and variable costs. If a company's total fixed costs are ₦100,000 and its variable costs are ₦50 per unit, and it sells its product for ₦150 per unit, how many units must it sell to break even?
A. 1000
B. 2000
C. 5000
D. 10000
Question 4
A company's production function is given by Q = 100L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the company increases its labor input from 100 to 121 units, and its capital input from 100 to 121 units, by how many percentage points does the quantity produced increase?
A. 10%
B. 20%
C. 30%
D. 40%
Question 5
In a perfectly competitive market, the supply curve is upward-sloping because firms are willing to supply more of a good as its price increases, but they are also willing to supply less of the good as its price decreases. This is an example of the law of
A. Diminishing Marginal Utility
B. Diminishing Marginal Returns
C. Law of Increasing Opportunity Cost
D. Law of Supply
Question 6
A firm's production function is given by Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm increases its labor input from 100 to 121 units, and its capital input from 100 to 121 units, by how many percentage points does the quantity produced increase?
A. 10%
B. 20%
C. 30%
D. 40%
Question 7
A consumer is considering purchasing a product that has a 30-day warranty. If the product fails within the warranty period, the consumer can return it for a full refund. This is an example of which of the following?
A. Implied Warranty
B. Express Warranty
C. Statute of Limitations
D. Product Liability
Question 8
A company's marketing strategy involves a 20% increase in advertising expenditure. If the initial advertising expenditure was ₦1,500,000, what is the new advertising expenditure?
A. ₦1,800,000
B. ₦1,600,000
C. ₦1,800,000
D. ₦1,600,000
Question 9
A bank's cash reserve ratio is 20%. If the bank has a cash reserve of ₦1,000,000, what is the maximum amount of loans it can give out?
A. ₦4,000,000
B. ₦5,000,000
C. ₦4,000,000
D. ₦5,000,000
Question 10
A company is considering launching a new product in a foreign market. The company has conducted market research and determined that the product will be successful in the new market. However, the company is concerned about the potential risks associated with entering a new market. Which of the following is a potential risk that the company should consider?
A. Competition from existing brands
B. Cultural differences
C. Language barriers
D. All of the above
Question 11
The diagram below shows the demand and supply curves for a particular commodity. What is the equilibrium price?
A. ₦10
B. ₦20
C. ₦30
D. ₦40
Question 12
A communication network is a system of interconnected devices that transmit information. What is the main advantage of a communication network?
A. Easy to set up
B. Easy to manage
C. Easy to finance
D. Easy to expand
Question 13
A company has a sole proprietorship business that generates revenue of ₦500,000 per month. The company's expenses include a fixed cost of ₦50,000 per month and a variable cost of ₦10,000 per unit sold. If the company sells 50 units per month, what is its profit?
A. ₦225,000
B. ₦230,000
C. ₦235,000
D. ₦240,000
Question 14
A company has a fleet of 10 trucks that transport goods from a warehouse to a distribution center. The company uses a routing algorithm to determine the most efficient route for each truck. If the company wants to reduce its fuel consumption by 20%, what should it do?
A. Increase the number of trucks
B. Decrease the number of trucks
C. Use a different routing algorithm
D. Use electric trucks
Question 15
A firm's cost of capital is 10% per annum. If it invests ₦1,000,000 in a project that is expected to generate a cash inflow of ₦150,000 per annum for 5 years, what is the project's net present value?
A. ₦0
B. ₦50000
C. ₦100000
D. ₦150000

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