POST UTME UNN 2020 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company has a warehouse with a capacity of 10,000 units. The current inventory level is 8,000 units. If 2,000 units are received in a shipment, what is the new inventory level?
A. 6000
B. 8000
C. 10000
D. 12000
Question 2
A company's marketing strategy involves a 20% discount on all products for the first week of a new product launch. If the original price of the product is ₦5,000, what is the new price after the discount?
A. ₦4,000
B. ₦4,500
C. ₦4,000
D. ₦4,500
Question 3
A firm's production function is given by Q = 2L^(1/2)K^(1/2), where Q is output, L is labor and K is capital. If the firm wants to increase its output by 20% while keeping labor constant, what percentage increase in capital is required?
A. 10%
B. 20%
C. 30%
D. 40%
Question 4
A company is considering investing in a new project that involves importing goods from a foreign country. Which of the following risks is most likely to be associated with this project?
A. Exchange rate risk
B. Country risk
C. Commodity price risk
D. Interest rate risk
Question 5
A company is considering entering a new market through a strategic alliance with a local partner. Which of the following benefits is most likely to be associated with this type of alliance?
A. Access to new technology
B. Access to new markets
C. Access to new distribution channels
D. Access to new management expertise
Question 6
A company is considering the introduction of a new production process. The company's management has identified a potential cost savings opportunity in the production process. However, the company's management is concerned about the potential risks associated with the new production process. What is the most appropriate action for the company to take?
A. Implement the new production process
B. Conduct a cost-benefit analysis
C. Develop a business plan
D. Seek advice from a business consultant
Question 7
A person invests ₦20,000 in a savings account with an annual interest rate of 8%. If the interest is compounded annually, what is the amount in the account after 2 years?
A. ₦40,000
B. ₦42,000
C. ₦44,000
D. ₦46,000
Question 8
A firm's revenue function is given by R = 100Q - 2Q^2, where R is revenue and Q is output. If the firm wants to maximize its revenue, what level of output should it produce?
A. 10
B. 20
C. 30
D. 40
Question 9
The main disadvantage of a sole trader is that it provides?
A. Limited liability
B. Unlimited liability
C. Easy formation
D. Easy dissolution
Question 10
A company's insurance policy covers losses due to fire, theft, and natural disasters. This is an example of which of the following types of insurance policies?
A. All-risk policy
B. Named-peril policy
C. Blanket policy
D. Excess policy
Question 11
A consumer protection law that prohibits false or misleading advertising is an example of which of the following types of laws?
A. Administrative law
B. Criminal law
C. Civil law
D. Regulatory law
Question 12
A bank is considering offering a new type of loan product to its customers. Which of the following features is most likely to be included in this product?
A. A variable interest rate
B. A fixed interest rate
C. A collateral requirement
D. A credit life insurance policy
Question 13
A firm's revenue function is given by R = 2Q^2, where R is revenue and Q is output. If the firm increases output from 3 units to 5 units, what is the percentage change in revenue?
A. 50%
B. 60%
C. 70%
D. 80%
Question 14
A firm's demand function is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the firm wants to maximize its revenue, what price should it charge?
A. ₦20
B. ₦30
C. ₦40
D. ₦50
Question 15
A firm's revenue is calculated as the product of the price per unit and the quantity sold. If the price per unit is ₦100 and the quantity sold is 100 units, what is the total revenue?
A. ₦10,000
B. ₦100,000
C. ₦1,000,000
D. ₦10,000,000

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