POST UTME AFE BABALOLA UNIVERSITY 2022 Commerce | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A company is considering the introduction of a new marketing strategy. The strategy involves the use of social media to reach a wider audience. What type of marketing strategy is this?
A. Push marketing
B. Pull marketing
C. Interactive marketing
D. Relationship marketing
Question 2
A firm's cost function is given by C = 2L + 3K, where L is the number of units of labor and K is the number of units of capital. If the firm hires 5 units of labor and 10 units of capital, what is the total cost of production?
A. ₦35
B. ₦50
C. ₦65
D. ₦80
Question 3
A marketing firm is considering two advertising strategies: Strategy A, which costs ₦1.2 million and is expected to generate ₦4.8 million in revenue, and Strategy B, which costs ₦1.5 million and is expected to generate ₦6 million in revenue. What is the net present value (NPV) of Strategy A, assuming a discount rate of 10%?
A. ₦2,400
B. ₦2,500
C. ₦2,600
D. ₦2,700
Question 4
A company is considering two different marketing strategies for its new product. Strategy A involves a high initial investment in advertising, but the product is expected to have a long shelf life and high demand. Strategy B involves a lower initial investment in advertising, but the product is expected to have a shorter shelf life and lower demand. Which strategy is more likely to result in higher profits?
A. Strategy A
B. Strategy B
C. Both strategies are equally likely to result in higher profits
D. Neither strategy is likely to result in higher profits
Question 5
A firm is considering investing in a new project. The project has a required rate of return of 10% and an expected return of 12%. What is the company's expected return in excess of the required rate of return?
A. 2%
B. 4%
C. 6%
D. 8%
Question 6
A company is considering the purchase of a new communication system. The system involves the use of satellite technology to improve connectivity. What type of communication system is this?
A. Wireless communication
B. Wired communication
C. Satellite communication
D. Cable communication
Question 7
A company is considering the purchase of a new insurance policy. The policy covers the company against a range of risks, including liability and property damage. What type of insurance policy is this?
A. Liability insurance
B. Property insurance
C. Casualty insurance
D. Workers' compensation insurance
Question 8
A country's trade balance is given by the equation TB = X - M, where X is the value of exports and M is the value of imports. If the value of exports is ₦100 billion and the value of imports is ₦120 billion, what is the trade balance?
A. ₦20 billion surplus
B. ₦20 billion deficit
C. ₦40 billion surplus
D. ₦40 billion deficit
Question 9
A bank offers a 5-year fixed deposit account with an interest rate of 12% per annum compounded annually. If a customer deposits ₦100,000 at the beginning of the first year, what is the future value of the investment at the end of the fifth year?
A. ₦163,922
B. ₦164,000
C. ₦164,100
D. ₦164,200
Question 10
In a perfectly competitive market, the supply curve is horizontal and the demand curve is downward-sloping. What is the equilibrium price and quantity of the product?
A. ₦100, 100 units
B. ₦120, 80 units
C. ₦150, 60 units
D. ₦180, 40 units
Question 11
A company is considering the introduction of a new transportation system. The system involves the use of autonomous vehicles to improve safety. What type of transportation system is this?
A. Public transportation
B. Private transportation
C. Sustainable transportation
D. Autonomous transportation
Question 12
A firm has two types of insurance policies: type A and type B. Type A policy covers losses up to ₦1 million, while type B policy covers losses up to ₦500,000. If the firm has a total of ₦2.5 million in losses, how much should it pay for each policy?
A. ₦1.25 million for type A policy, ₦1.25 million for type B policy
B. ₦1.5 million for type A policy, ₦1 million for type B policy
C. ₦1 million for type A policy, ₦1.5 million for type B policy
D. ₦1.5 million for type A policy, ₦1 million for type B policy
Question 13
A company's production function is given by Q = 2L^0.5K^0.5. If the company wants to produce 400 units of output, and the wage rate is ₦10 per hour, and the rental rate is ₦5 per unit of capital, what is the minimum cost of production?
A. ₦2000
B. ₦2500
C. ₦3000
D. ₦3500
Question 14
The Consumer Protection Act of 1999 provides for the establishment of a Consumer Protection Council. What is the primary function of this council?
A. To regulate consumer goods and services
B. To protect consumers from unfair trade practices
C. To promote consumer awareness and education
D. To resolve consumer complaints and disputes
Question 15
A firm is considering two different production technologies: one that requires 10 units of labor and 5 units of capital to produce 100 units of output, and another that requires 5 units of labor and 10 units of capital to produce 100 units of output. Which technology is more efficient?
A. Technology 1
B. Technology 2
C. Both technologies are equally efficient
D. Neither technology is efficient

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