POST UTME UNIOSUN 2019 Commerce | Objective

Are you preparing for POST UTME UNIOSUN exams? Reviewing past questions is one of the most effective ways to guarantee a high score. This practice hub features authentic 2019 Commerce (Objective) questions designed to simulate the real exam environment.

Practice these randomly selected questions to test your readiness.

Question 1
A sole trader's business is registered under which of the following?
A. Partnership
B. Limited Liability Company
Correct C. Sole Proprietorship
D. Cooperative Society

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 2
A bank's cash reserve ratio is 20%. If it has ₦100,000 in reserves, what is the total amount of deposits it can make?
A. ₦400,000
Correct B. ₦500,000
C. ₦200,000
D. ₦300,000

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 3
A company's production process involves the following steps: raw material procurement, manufacturing, quality control, and packaging. Which of the following is NOT a characteristic of a production process?
A. Standardization
B. Specialization
C. Mass Production
Correct D. Flexibility

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 4
A consumer is entitled to a refund for a defective product under the Consumer Protection Act. What is the time limit for making a claim?
A. 6 months
B. 1 year
Correct C. 2 years
D. 3 years

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 5
A warehouse manager wants to store 500 boxes of goods in a warehouse with a capacity of 2000 boxes. What is the storage efficiency of the warehouse?
A. 25%
Correct B. 50%
C. 75%
D. 100%

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 6
The concept of 'caveat emptor' in consumer protection law implies that the buyer should be aware of the product's characteristics before making a purchase. Which of the following is a correct example of a product that would be subject to the caveat emptor principle?
Correct A. A used car
B. A new smartphone
C. A pair of shoes
D. A service contract

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 7
A company imports goods from a foreign country and sells them in Nigeria. What type of trade is this?
A. Export
B. Import
C. Domestic trade
Correct D. Foreign trade

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 8
A bank offers a loan to a customer at an interest rate of 12% per annum. If the loan amount is ₦100,000, how much will the customer pay back after 2 years?
A. ₦120,000
B. ₦124,000
C. ₦128,000
Correct D. ₦132,000

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 9
A company uses the just-in-time (JIT) production system. What is the main advantage of this system?
Correct A. Reduced inventory costs
B. Improved product quality
C. Increased production capacity
D. Reduced production time

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 10
A consumer purchases a product online and receives a defective item. What is the consumer's right under the Consumer Protection Act?
A. The right to a refund
B. The right to a replacement
Correct C. The right to compensation
D. The right to sue the seller

Correct Answer: C

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 11
A company's warehouse is storing goods worth ₦5 million. The goods are insured against theft, fire, and flood. However, the insurance policy has a deductible clause of ₦200,000. If the goods are stolen, the insurance company will pay ₦4.8 million. What is the total amount the company will receive from the insurance company?
Correct A. ₦4.8 million
B. ₦5 million
C. ₦5.2 million
D. ₦5.8 million

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 12
A firm is considering two production methods for a new product. Method A requires an initial investment of ₦1.5 million and produces 10,000 units per month. Method B requires an initial investment of ₦2 million and produces 15,000 units per month. If the selling price of the product is ₦500 per unit, what is the break-even point for each method?
Correct A. Method A: 5,000 units, Method B: 10,000 units
B. Method A: 10,000 units, Method B: 5,000 units
C. Method A: 15,000 units, Method B: 20,000 units
D. Method A: 20,000 units, Method B: 15,000 units

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 13
A company's marketing strategy involves a 10% discount for the first 1,000 units sold and a 5% discount for the next 2,000 units sold. If the selling price of the product is ₦500 per unit, what is the total revenue for the first 3,000 units sold?
Correct A. ₦1,425,000
B. ₦1,450,000
C. ₦1,475,000
D. ₦1,500,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 14
A firm is considering two transportation methods for a new product. Method A requires a fixed cost of ₦50,000 and a variable cost of ₦100 per unit. Method B requires a fixed cost of ₦30,000 and a variable cost of ₦120 per unit. If the selling price of the product is ₦200 per unit, what is the break-even point for each method?
Correct A. Method A: 500 units, Method B: 250 units
B. Method A: 250 units, Method B: 500 units
C. Method A: 1,000 units, Method B: 1,500 units
D. Method A: 1,500 units, Method B: 1,000 units

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 15
A company's insurance policy has a premium of ₦50,000 per year. The policy covers against fire, theft, and flood. However, the policy has a deductible clause of ₦20,000. If the company suffers a loss of ₦100,000, what is the total amount the company will receive from the insurance company?
Correct A. ₦80,000
B. ₦90,000
C. ₦100,000
D. ₦110,000

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 16
The Central Bank of Nigeria (CBN) uses the monetary policy instrument of Open Market Operations (OMO) to influence the money supply in the economy. Which of the following is a characteristic of OMO?
A. The CBN buys government securities from commercial banks
Correct B. The CBN sells government securities to commercial banks
C. The CBN lends money to commercial banks at a fixed interest rate
D. The CBN borrows money from commercial banks at a fixed interest rate

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 17
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 characteristic of the break-even point?
A. The break-even point occurs when the firm's total revenue exceeds its total fixed costs
Correct B. The break-even point occurs when the firm's total revenue equals its total fixed costs
C. The break-even point occurs when the firm's total revenue is less than its total fixed costs
D. The break-even point occurs when the firm's total revenue is equal to its total variable costs

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 18
A warehouse is a facility used for storing goods. Which of the following is a characteristic of a warehouse?
Correct A. A warehouse is a facility used for storing goods
B. A warehouse is a facility used for manufacturing goods
C. A warehouse is a facility used for selling goods
D. A warehouse is a facility used for transporting goods

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 19
A firm's market share is the percentage of the total market that it controls. Which of the following is a characteristic of a firm's market share?
Correct A. A firm's market share is the percentage of the total market that it controls
B. A firm's market share is the percentage of the total market that it does not control
C. A firm's market share is the total market that it controls
D. A firm's market share is the total market that it does not control

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 20
A firm's competitive advantage is the ability to produce a product or service at a lower cost than its competitors. Which of the following is a characteristic of a firm's competitive advantage?
Correct A. A firm's competitive advantage is the ability to produce a product or service at a lower cost than its competitors
B. A firm's competitive advantage is the ability to produce a product or service at a higher cost than its competitors
C. A firm's competitive advantage is the ability to produce a product or service at the same cost as its competitors
D. A firm's competitive advantage is the ability to produce a product or service at a higher quality than its competitors

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 21
In a sole proprietorship, the owner's personal assets are
Correct A. liable for business debts
B. not liable for business debts
C. liable for business profits
D. not liable for business losses

Correct Answer: A

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 22
A company's articles of association can be amended by
A. a simple majority vote
Correct B. a two-thirds majority vote
C. a unanimous vote
D. by a court order

Correct Answer: B

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 23
The primary function of a marketing manager is to
A. develop a marketing strategy
B. coordinate marketing activities
C. analyze market trends
Correct D. all of the above

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 24
The Consumer Protection Act of 1999 provides for
A. the right to sue for damages
B. the right to cancel a contract
C. the right to a refund
Correct D. all of the above

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics
Question 25
The main advantage of a sole proprietorship is
A. easy to establish
B. easy to dissolve
C. no liability for business debts
Correct D. all of the above

Correct Answer: D

Want to see the full step-by-step solution? Unlock AI Explanation & Analytics

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Help others prepare! Share this practice hub:
Chat with Support