POST UTME RSU 2017 Commerce | Objective

Are you preparing for POST UTME RSU exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2017 Commerce (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
In a sole trader business, what is the primary advantage of using a separate business bank account?
A. Easy accounting and tax compliance
Correct B. Separation of personal and business finances
C. Increased credibility with suppliers and customers
D. Reduced risk of business failure

Correct Answer: B

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Question 2
A company has a production capacity of 100 units per day. If it operates for 20 days, what is the total production?
Correct A. 2000 units
B. 1000 units
C. 500 units
D. 1500 units

Correct Answer: A

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Question 3
A warehouse has a storage capacity of 5000 units. If it is currently storing 3000 units, what is the remaining capacity?
Correct A. 1000 units
B. 2000 units
C. 500 units
D. 1500 units

Correct Answer: A

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Question 4
A company has a risk management policy that includes a deductible of ₦5000. If a loss occurs and the company pays ₦15000, what is the amount paid by the insurer?
Correct A. ₦10000
B. ₦5000
C. ₦0
D. ₦15000

Correct Answer: A

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Question 5
A company has a production process that involves a series of steps. If the probability of each step failing is 0.1, what is the probability of the entire process failing?
Correct A. 0.01
B. 0.1
C. 0.5
D. 0.9

Correct Answer: A

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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 in this market?
A. ₦100, 100 units
Correct B. ₦120, 80 units
C. ₦150, 60 units
D. ₦180, 40 units

Correct Answer: B

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Question 7
A company has a warehouse with a capacity of 10,000 units. The warehouse is currently 70% full. If the company receives a new shipment of 5,000 units, what is the new percentage of the warehouse that is full?
A. 50%
B. 55%
Correct C. 60%
D. 65%

Correct Answer: C

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Question 8
A firm's revenue function is given by R(x) = 2x^2 + 5x + 10. What is the marginal revenue function?
Correct A. 4x + 5
B. 2x + 5
C. 6x + 5
D. 8x + 5

Correct Answer: A

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Question 9
A company has a portfolio of stocks with a beta of 1.2. If the market return is 8%, what is the expected return on the portfolio?
A. 9.6%
Correct B. 10.4%
C. 11.2%
D. 12%

Correct Answer: B

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Question 10
A firm's cost function is given by C(x) = 2x^2 + 5x + 10. What is the marginal cost function?
Correct A. 4x + 5
B. 2x + 5
C. 6x + 5
D. 8x + 5

Correct Answer: A

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Question 11
A sole trader's business is considered a separate legal entity from its owner. Which of the following best describes this concept?
Correct A. Separate legal entity
B. Joint liability
C. Limited liability
D. No liability

Correct Answer: A

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Question 12
A company's memorandum of association is a document that outlines the company's
A. Objectives
B. Share capital
C. Management structure
Correct D. All of the above

Correct Answer: D

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Question 13
A freight forwarder is responsible for
A. Clearing customs
B. Loading and unloading cargo
C. Arranging transportation
Correct D. All of the above

Correct Answer: D

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Question 14
A bank's reserve requirement is the minimum amount of
A. Deposits
B. Loans
Correct C. Reserves
D. Capital

Correct Answer: C

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Question 15
A foreign trade agreement is a contract between two or more countries that outlines the terms of
A. Import and export
B. Tariffs and quotas
C. Investment and technology transfer
Correct D. All of the above

Correct Answer: D

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Question 16
The concept of 'switching costs' in marketing refers to the costs incurred by a consumer when switching from one brand to another. Which of the following is a type of switching cost?
A. Financial switching costs
B. Time switching costs
Correct C. Psychological switching costs
D. Physical switching costs

Correct Answer: C

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Question 17
A company's marketing strategy is to target a specific segment of the market. Which of the following is a characteristic of a target market?
A. A large and diverse group of consumers
Correct B. A specific group of consumers with similar needs and characteristics
C. A group of consumers who are not interested in the product
D. A group of consumers who are not willing to pay for the product

Correct Answer: B

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Question 18
A consumer protection agency has received a complaint about a company's unfair business practices. Which of the following is a type of unfair business practice?
A. False advertising
B. Price fixing
C. Bait and switch
Correct D. All of the above

Correct Answer: D

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Question 19
A bank is considering a loan application from a small business owner. Which of the following is a factor that the bank will consider when evaluating the loan application?
A. The business owner's credit score
B. The business owner's income
C. The business owner's assets
Correct D. All of the above

Correct Answer: D

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Question 20
A company is considering a new marketing strategy to increase sales. Which of the following is a type of marketing strategy?
A. Product differentiation
B. Market segmentation
C. Positioning
Correct D. All of the above

Correct Answer: D

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Question 21
In a perfectly competitive market, the supply curve is perfectly elastic because the firm can easily increase its output by
A. increasing the price of its product
B. decreasing the price of its product
Correct C. increasing the quantity of its product
D. decreasing the quantity of its product

Correct Answer: C

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Question 22
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm wants to produce 16 units of output, and the price of labor is 4 per unit, and the price of capital is 2 per unit, what is the minimum cost of production?
A. 32
Correct B. 64
C. 128
D. 256

Correct Answer: B

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Question 23
A company has the following budget constraint: 2X + 3Y = 12. If the price of X is 2 and the price of Y is 3, how many units of Y should the company produce to maximize its profit?
A. 2
Correct B. 4
C. 6
D. 8

Correct Answer: B

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Question 24
A firm's demand function is given by Q = 100 - 2P. If the firm wants to maximize its revenue, what price should it charge for its product?
A. 20
Correct B. 30
C. 40
D. 50

Correct Answer: B

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Question 25
A company has the following production function: Q = 2L^0.5K^0.5. If the price of labor is 4 per unit, and the price of capital is 2 per unit, what is the minimum cost of production if the firm wants to produce 16 units of output?
A. 32
Correct B. 64
C. 128
D. 256

Correct Answer: B

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