POST UTME OSUSTECH 2021 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company's financial statements provide information about its financial position and performance. Which of the following statements is NOT true about a company's financial statements?
A. They provide a snapshot of the company's financial position at a particular point in time
B. They provide information about the company's financial performance over a period of time
C. They are prepared in accordance with accounting standards
D. They are audited by an independent auditor
Question 2
A company has a policy of paying its employees a bonus of 10% of their salary if they meet their targets. If an employee's salary is ₦80,000 and they meet their targets, what is the total amount they will receive?
A. ₦88,000
B. ₦90,000
C. ₦92,000
D. ₦94,000
Question 3
A company is considering two different production processes for its product. Process A has a fixed cost of ₦100,000 and a variable cost of ₦50 per unit. Process B has a fixed cost of ₦150,000 and a variable cost of ₦30 per unit. If the selling price of the product is ₦80 per unit, which process should the company use to maximize its profit?
A. Process A
B. Process B
C. Both processes are equally profitable
D. Neither process is profitable
Question 4
A company's financial statements provide information about its financial position and performance. Which of the following statements is NOT true about a company's financial statements?
A. They provide a snapshot of the company's financial position at a particular point in time
B. They provide information about the company's financial performance over a period of time
C. They are prepared in accordance with accounting standards
D. They are audited by an independent auditor
Question 5
A firm's marketing strategy involves a combination of product, price, place, and promotion. Which of the following is NOT a characteristic of a product?
A. Quality
B. Brand
C. Packaging
D. Warranty
Question 6
In a perfectly competitive market, the supply curve is horizontal and the demand curve is downward-sloping. What is the equilibrium price and quantity of a product in this market, given that the market demand function is Q = 100 - 2P and the market supply function is Q = 50 + 3P?
A. (20, 80)
B. (30, 70)
C. (40, 60)
D. (50, 50)
Question 7
A firm's break-even point is the point at which its total revenue equals its total fixed costs. Which of the following is NOT a factor that affects a firm's break-even point?
A. The firm's fixed costs
B. The firm's variable costs
C. The firm's sales price
D. The firm's market share
Question 8
A bank's return on assets (ROA) is calculated as net income divided by total assets. If a bank has a net income of ₦120 million and total assets of ₦2.5 billion, what is its ROA?
A. 0.048
B. 0.05
C. 0.06
D. 0.08
Question 9
A company's marketing mix is given by the 4 Ps: Product, Price, Place, and Promotion. If a company wants to increase sales by 20%, which of the following strategies would be most effective?
A. Increase price by 10%
B. Increase advertising budget by 20%
C. Improve product quality
D. Increase distribution channels
Question 10
A company has a business interruption insurance policy that covers losses due to unforeseen events. The policy has a deductible of ₦100,000 and a coverage limit of ₦500,000. If the company experiences a loss of ₦750,000, how much will be paid out by the insurer?
A. ₦350,000
B. ₦400,000
C. ₦450,000
D. ₦500,000
Question 11
A company produces a product with a defect that causes harm to a consumer. The company is liable for the damages under which of the following legal principles?
A. Negligence
B. Strict Liability
C. Unfair Trade Practices
D. Breach of Warranty
Question 12
A firm's demand function is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the price is increased by 20%, what is the new quantity demanded?
A. 80
B. 90
C. 100
D. 110
Question 13
A consumer purchases a product from a retailer who has misrepresented the product's features. The consumer is entitled to which of the following remedies?
A. Rescission of the contract
B. Damages for misrepresentation
C. Specific performance of the contract
D. Injunction to stop the sale of the product
Question 14
A bank is considering lending to a customer who has a credit score of 600. The bank's lending policy requires a minimum credit score of 700. What should the bank do?
A. Approve the loan
B. Decline the loan
C. Request additional information
D. Refer the customer to a credit counselor
Question 15
A company is considering two different production processes. Process A has a fixed cost of ₦100,000 and a variable cost of ₦50 per unit. Process B has a fixed cost of ₦150,000 and a variable cost of ₦30 per unit. If the selling price is ₦80 per unit, which process should the company choose?
A. Process A
B. Process B
C. Both processes are equally profitable
D. Neither process is profitable

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