POST UTME UNILORIN 2018 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A sole trader's business is considered a separate legal entity from its owner. What is the primary reason for this separation?
A. To protect the owner's personal assets from business liabilities
B. To allow the business to operate independently of its owner
C. To facilitate the transfer of ownership to a new individual
D. To simplify tax compliance for the business
Question 2
A business has a warehouse with a capacity of 10,000 units. The business receives an order for 5,000 units. The warehouse is currently 70% full. What is the probability that the business will be able to fulfill the order without running out of stock?
A. 0.7
B. 0.8
C. 0.9
D. 1.0
Question 3
The following diagram shows a typical communication network. Identify the device labeled 'B'?
A. Hub
B. Switch
C. Router
D. Modem
Question 4
A company is considering two different insurance policies to cover its business operations. Policy A has a premium of ₦150,000 and a deductible of ₦50,000. Policy B has a premium of ₦120,000 and a deductible of ₦20,000. If the company expects to incur an average loss of ₦80,000 per year, which policy should it choose?
A. Policy A
B. Policy B
C. Both policies are equally good
D. Neither policy is suitable
Question 5
A product's market share is 30% of the total market. If the total market size is 100,000 units, calculate the number of units sold by the product.
A. 30,000
B. 30,000
C. 30,000
D. 30,000
Question 6
A bank's primary function is to act as a financial intermediary between savers and borrowers. What is the primary benefit of using a bank?
A. To provide a safe and secure place to store money
B. To facilitate the transfer of funds between individuals
C. To provide a source of credit for borrowers
D. To offer investment opportunities for savers
Question 7
A firm's revenue function is given by R(x) = 3x^2 - 2x + 1. Find the rate of change of revenue with respect to output when x = 2.
A. 10
B. 12
C. 10
D. 12
Question 8
A company's cost function is given by C(x) = 2x^2 + 5x + 10. If the company produces 20 units of output, what is its total cost?
A. 150
B. 200
C. 250
D. 300
Question 9
The Central Bank of Nigeria (CBN) uses the monetary policy to regulate the money supply in the economy. Which of the following is a tool of monetary policy?
A. Open Market Operations (OMO)
B. Reserve Requirements
C. Discount Rate
D. Fiscal Policy
Question 10
A freight forwarder is responsible for arranging the transportation of goods from one location to another. What is the primary benefit of using a freight forwarder?
A. To reduce the cost of transportation
B. To increase the speed of delivery
C. To simplify the logistics of transportation
D. To improve the security of goods in transit
Question 11
A consumer protection agency receives a complaint about a firm's unfair trade practices. The agency must investigate the complaint and take appropriate action. What is the primary responsibility of the agency?
A. To investigate the complaint and take appropriate action
B. To provide legal advice to the firm
C. To mediate between the firm and the consumer
D. To impose a fine on the firm
Question 12
A firm's revenue function is given by R(x) = 10x - 2x^2. If the firm produces 5 units of output, what is its revenue?
A. 20
B. 25
C. 30
D. 35
Question 13
A bank is considering two different investment options. Option A has a return of 10% per annum and a risk level of 5. Option B has a return of 15% per annum and a risk level of 8. If the bank wants to maximize its return while minimizing its risk, which option should it choose?
A. Option A
B. Option B
C. Both options are equally good
D. Neither option is suitable
Question 14
A bank's cash reserve ratio is 20%. If the bank has a total deposit of ₦1,000,000, how much cash must it reserve?
A. ₦200,000
B. ₦250,000
C. ₦200,000
D. ₦250,000
Question 15
A sole trader's business is registered under the Companies and Allied Matters Act 2020. Which of the following is a consequence of this registration?
A. The sole trader is required to file annual returns with the Corporate Affairs Commission.
B. The sole trader is exempt from paying personal income tax.
C. The sole trader is required to maintain a separate business bank account.
D. The sole trader is not required to obtain a business license.

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