POST UTME AL-HIKMAH UNIVERSITY 2020 Commerce | Objective
Practice these randomly selected questions to test your readiness.
Question 1
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's labor and capital are 16 and 9 respectively, what is the output?
Question 2
A company specializes in producing a single product, which is a type of electronic component. The production process involves several stages, including design, prototyping, testing, and packaging. The company uses a just-in-time (JIT) inventory system to manage its stock levels. What is the primary advantage of using a JIT inventory system in this context?
Question 3
A company is considering two different production methods for its product. Method A involves a higher initial investment but lower operating costs, while Method B involves a lower initial investment but higher operating costs. If the company expects to produce 10,000 units per year for 5 years, and the selling price per unit is ₦500, which production method should the company choose?
Question 4
A sole trader has an annual income of ₦1,500,000 and expenses of ₦800,000. What is the sole trader's net profit?
Question 5
A firm is considering two different types of insurance policies to protect against potential losses. Policy A has a higher premium but provides a higher level of coverage, while Policy B has a lower premium but provides a lower level of coverage. What is the primary factor that the firm should consider when deciding between these two policies?
Question 6
A firm produces two products, X and Y. The production process for X requires 2 hours of labor and 3 units of raw material, while the production process for Y requires 3 hours of labor and 2 units of raw material. If the firm has 120 hours of labor available and 180 units of raw material available, how many units of product X and product Y should the firm produce to maximize profit?
Question 7
A company uses the just-in-time inventory system. What is the primary benefit of this system?
Question 8
In a sole trader business, what is the primary advantage of using a cash book over a sales journal?
Question 9
A company is developing a new marketing campaign to promote its product. The company has identified three target markets: young adults, middle-aged adults, and seniors. Which of the following marketing strategies is most likely to be effective in reaching the young adult market?
Question 10
A company's demand function is given by Q = 100 - 2P, where Q is quantity demanded and P is price. If the price is 20, what is the quantity demanded?
Question 11
A bank offers a 5-year fixed deposit account with an interest rate of 8% per annum compounded annually. If a customer deposits ₦100,000, how much will the customer receive at the end of the 5-year period?
Question 12
A bank offers a 5-year fixed deposit account with an interest rate of 10% per annum compounded annually. If an investor deposits ₦100,000 at the beginning of the first year, and the interest is compounded quarterly, how much will the investor have at the end of the fifth year?
Question 13
A firm's supply function is given by Q = 2P + 5, where Q is quantity supplied and P is price. If the price is 10, what is the quantity supplied?
Question 14
A firm is considering two different production processes to manufacture a new product. Process A involves a high level of automation, while Process B involves a high level of human labor. What is the primary advantage of Process A?
Question 15
A company has two branches, A and B. Branch A has a profit of ₦500,000 and a loss of ₦200,000, while Branch B has a profit of ₦300,000 and a loss of ₦100,000. If the company's overall profit is ₦200,000, what is the profit of Branch A?
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