POST UTME RHEMA UNIVERSITY 2022 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company uses a just-in-time (JIT) inventory system to manage its stock levels. In this system, inventory is ordered and received just in time to meet customer demand. What is the primary advantage of using a JIT inventory system?
A. Reduced inventory costs
B. Improved customer satisfaction
C. Increased inventory turnover
D. Reduced production costs
Question 2
A firm's production function is given by Q = 2L^0.4K^0.3, where Q is output, L is labor, and K is capital. If the firm wants to increase output by 20% while keeping labor constant, by what percentage should it increase capital?
A. 10%
B. 20%
C. 30%
D. 40%
Question 3
A logistics company is responsible for transporting goods from a warehouse to a customer. The company uses a transportation management system (TMS) to manage its transportation operations. What is the primary benefit of using a TMS?
A. Improved transportation efficiency
B. Reduced transportation costs
C. Increased transportation capacity
D. Improved customer satisfaction
Question 4
A consumer is considering purchasing a product that has a 30-day money-back guarantee. Which of the following is the most likely reason for the consumer to purchase the product?
A. The consumer is confident in the product's quality
B. The consumer is willing to take a risk on the product
C. The consumer is looking for a low-cost option
D. The consumer is seeking a flexible return policy
Question 5
A warehouse manager wants to store 1000 units of goods in a warehouse with a capacity of 5000 units. The manager wants to maximize storage space while minimizing the number of shelves required. Which of the following storage arrangements would achieve this goal?
A. Storing the goods in a single layer on the floor
B. Storing the goods in a single layer on shelves
C. Storing the goods in multiple layers on shelves
D. Storing the goods in a vertical stack
Question 6
A firm's marketing strategy involves creating a unique selling proposition (USP) to differentiate its product from competitors. Which of the following best describes the primary purpose of a USP?
A. To increase brand awareness
B. To create a perceived value for the product
C. To reduce production costs
D. To increase market share
Question 7
A sole trader has a business income of ₦2,000,000 and a business expense of ₦1,500,000. What is the sole trader's business profit?
A. ₦500,000
B. ₦1,000,000
C. ₦1,500,000
D. ₦2,000,000
Question 8
A firm's marketing strategy involves creating a viral video campaign to promote its product. Which of the following is the most likely goal of the campaign?
A. To increase brand awareness
B. To create a perceived value for the product
C. To generate buzz and excitement around the product
D. To increase sales revenue
Question 9
The Consumer Protection Act of 1999 provides for the establishment of the National Consumer Protection Agency. What is the primary function of this agency?
A. To investigate consumer complaints and take enforcement action against erring businesses
B. To provide education and awareness programs for consumers on their rights and responsibilities
C. To regulate the activities of businesses and ensure compliance with consumer protection laws
D. To provide compensation to consumers who have suffered losses due to business malpractices
Question 10
A firm's cost function is given by C = 2L + 3K. If the firm's labor and capital inputs are increased by 20% and 15% respectively, what is the percentage change in total cost?
A. 5%
B. 10%
C. 15%
D. 20%
Question 11
A firm's break-even point is the point at which its total revenue equals its total fixed costs. Which of the following is a correct formula for calculating the break-even point?
A. BEQ = (Fixed Costs) / (Selling Price - Variable Costs)
B. BEQ = (Fixed Costs + Variable Costs) / Selling Price
C. BEQ = (Selling Price - Variable Costs) / Fixed Costs
D. BEQ = (Fixed Costs) / (Selling Price + Variable Costs)
Question 12
The concept of comparative advantage in international trade is based on the idea that countries should specialize in producing goods for which they have a lower opportunity cost compared to other countries. Which of the following is a correct example of comparative advantage?
A. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 50 units of wheat and 100 units of cloth.
B. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 50 units of wheat and 150 units of cloth.
C. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 150 units of wheat and 100 units of cloth.
D. Country A produces 100 units of wheat and 50 units of cloth, while Country B produces 50 units of wheat and 50 units of cloth.
Question 13
A firm's production function is given by Q = 2L^0.4K^0.3, where Q is output, L is labor, and K is capital. If the firm wants to increase output by 20% while keeping labor constant, by what percentage should it increase capital?
A. 10%
B. 20%
C. 30%
D. 40%
Question 14
A company's marketing mix is given by the 4 Ps: Product, Price, Place, and Promotion. If a company increases its advertising budget by 10% and reduces its product price by 5%, what is the overall effect on its marketing mix?
A. The company's marketing mix becomes more effective.
B. The company's marketing mix becomes less effective.
C. The company's marketing mix remains unchanged.
D. The company's marketing mix becomes more complex.
Question 15
A company has a production capacity of 10,000 units per year. If the company operates at 80% capacity, how many units will it produce?
A. 8,000
B. 9,000
C. 10,000
D. 12,000

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